Warner Music Group Purchases Parlophone
February 7, 2013

Warner Music Group has won the auction to acquire the famous European Parlophone Label Group, as part of Universal Music Group's sell-off of former EMI assets. The Financial Times reports that the price tag came in much higher than expected at £487 million (or roughly $765 million), allowing UMG to "recoup almost half of the money it spent on EMI." The sale is an all-cash deal.

Len Blavatnik, Chairman and founder of WMG owner Access Industries, said in a statement, "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."

WMG CEO Stephen Cooper said, "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."

In a statement from UMG, Chairman/CEO Lucian Grainge adds, "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."

The Financial Times notes that WMG has been beat out multiple times in the past when bidding on EMI and its assets. Warner's "relatively small market share" overseas should allow the deal to pass the European Commission without much opposition. The FT adds that "Warner was seen as being able to extract more savings from the acquisition than other bidders, but its victory will surprise some industry members who thought that the U.S. group’s vocal lobbying against Universal’s EMI deal could count against it in the auction." Sources also told the paper that WMG's bid was at least $100 million higher than the other bidders for Parlophone.

The Parlophone Label Group is comprised of the historic Parlophone label and Chrysalis and Ensign labels as well as EMI's recorded music operations in Belgium, Czech Republic, Denmark, France, Norway, Portugal, Spain, Slovakia and Sweden. Its artist roster and catalog of recordings include, among many others, Air, Coldplay, Daft Punk, Danger Mouse, David Guetta, Deep Purple, Duran Duran, Edith Piaf, Gorillaz, Iron Maiden, Itzhak Perlman, Jethro Tull, Kate Bush, Kylie Minogue, Maria Callas, Pet Shop Boys, Pink Floyd, Radiohead, Shirley Bassey, Tina Turner and Tinie Tempah.




 
Breaking News
Warner Music Group Revenue Up 10 Percent in Fiscal Q2
May 5, 2016
Emmis Reports Lower Revenue in Full Fiscal Year, Fourth Quarter
Radio One Net Revenue Up 3.1 Percent in First Quarter
Benztown To Distribute Classic Hip Hop and R&B Radio Show Hosted By Sir Mix-a-Lot
May 4, 2016
iHeartMedia Reports Results for First Quarter
Beasley Broadcast Group Reports Revenue Growth in Q1
WDJX/Louisville DJ Alex Clark Cast In New Fox TV Series Coupled
Dave Ramsey to Keynote 2016 Radio Show
In Brief - May 4, 2016
May 3, 2016
CBS Corporate Revenue Up 10 Percent In First Quarter
Adam Wiener Named EVP/GM, CBS Local Digital Media
iHeartRadio Breaks Another Record: 85 Million Registered Users
Greater Media Renews Relationship with Triton Digital
Live Nation Reports $1.2 Billion in Q1 Revenue
In Brief - May 3, 2016
May 2, 2016
Entercom Reports First Quarter Results
Cumulus Names Brian Demay PD of WRRM-FM/Cincinnati
CBS Radio Names Kenetta Bailey SVP/Marketing
April 29, 2016
Pandora Revenue, Listenership Rises In Q1
In Brief - April 29, 2016
April 28, 2016
SiriusXM Reports First Quarter 2016 Results
CMG Tulsa Names Nathan Reed Director of Branding & Programming at KRAV-FM
Cumulus Media Shreveport Ups Julie Kansy to PD at KQHN
ASCAP Revenue Tops $1 Billion For Second Straight Year
Music News
New Radiohead Album Arriving Sunday
Austin City Limits Led By Radiohead, Mumford & Sons, Kendrick Lamar
Quick Hits: Justin Timberlake, Red Hot Chili Peppers, Drake, Beyoncé, Janet Jackson
Quick Hits: Alicia Keys, Celine Dion, Kanye West
McCartney, Stones, The Who Top New Festival
Quick Hits: Radiohead, Chris Brown, Against Me!, Violent Femmes, Miike Snow
As Expected, Beyoncé Tops Billboard Chart With Lemonade
Quick Hits: Prince, Radio Disney Music Awards, Radiohead, classic rock festival, Red Hot Chili Peppers, Garbage
FMQB Photo Pass: Pearl Jam
Blink-182 Announce Album, Tour With Matt Skiba
Drake Expands Tour, Reveals Tracklist For Views
Quick Hits: Demi Lovato & Joe Jonas, Cash Cash, Whitney Houston, Deftones' Chino Moreno
Quick Hits: Justin Bieber, Lady Gaga & Elton John, Prince, Thrival Festival, B.o.B
Quick Hits: Bumbershoot Festival, Fetty Wap, HARD Summer, Jenny Lewis, Bayside
Prince Returns To The Top Of The Billboard 200
FMQB NOW

Nick Petropoulos
Head of Promotion
Glassnote Music

    Question Of
      The Week

Advertisement:
Search FMQB.com
Advertisements:
FMQB Member Login
Email:
Pass:

Save
Not a member yet?
Sign up Now!
Sign Up for Breaking News!
Enter FMQB E-Tracking!