Abu Dhabi's investment and development company part of deal seeking EU approval
Mubadala, the Abu Dhabi investment and development company, is part of a Sony-led investment group which has applied for European Union approval for the $2.2bn purchase of EMI Group’s publishing unit, it was confirmed on Wednesday.
“The proposed acquisition of EMI Music publishing by Sony and an investor group including Mubadala has been notified to the European Commission. The parties will continue to engage constructively with the Commission and are confident that the transaction will be approved,” a Mubadala spokesperson told Arabian Business in a statement.
The $2.2bn deal, if granted approval, will create the world’s second-biggest music catalogue. EMI's roster of artists currently includes popular acts such as Coldplay, George Michael and Kylie Minogue.
In addition to Mubadala, the Sony-led group also includes LA-based music billionaire David Geffen.
The European Commission set an initial deadline of April 2 to rule on the deal, it said on its website on Tuesday.
Sony confirmed in October it had secured financing from Mubadala for its bid for EMI.
Sony Music Entertainment had about 28 percent of the US album market in 2010, according to Nielsen Soundscan, putting it in second place behind Vivendi's Universal Music Group, while EMI had 10 percent.
Sony's music division accounted for about 6.5 percent of its sales and 20 percent of its operating profit in the year to March 2011.