Parlophone Label Group, the company formed to control those EMI businesses Universal was forced to put up for sale by competition regulators last year, has been sold to Warner Music for £487 million.
Len Blavatnik, Chairman and founder of Warner Music owner Access Industries, told CMU: “This is a very important milestone for Warner Music, reflecting our commitment to artist development by strengthening our worldwide roster, global footprint and executive talent”.
Stephen Cooper, CEO of Warner Music Group, added: “Having the Parlophone Label Group become part of our family represents a unique opportunity for us to join with legendary record labels and artists that are highly complementary to our existing organization from a creative, geographic and strategic standpoint. We are committed to making this a great outcome for Parlophone’s artists and employees, who will find in WMG a similar spirit and culture that is dedicated to providing the most supportive and innovative home for recording artists. The continuation of the Parlophone legacy and brand are central to the future success of this combination, and we are proud to have them join us”.
Meanwhile, Universal Chairman and CEO Lucian Grainge said: “Following this transaction, we will continue with our global reinvestment program that is rebuilding EMI and ensuring that the company is able to reach its full potential. And we’re satisfied that our agreement with Warner Music will provide a home for PLG artists”.
Various bids came in for PLG, with the deadline coming late last month, including proposed purchases from Sony Music and BMG, a Simon Fuller-led consortium, also backed by Island Records founder Chris Blackwell and RIT Capital Partners, and Ronald Perelman’s investment company MacAndrews & Forbes.