Bloomberg News

EMI Music Said to Set Lender Meeting on $1.8 Billion in Loans

January 26, 2012

Jan. 25 (Bloomberg) -- EMI Music Publishing set a lender meeting for Jan. 27 at 10 a.m. in New York to discuss $1.8 billion of loans to support its acquisition by Sony Corp., according to a person with knowledge of the matter.

UBS AG is leading the financing, which includes a $1.05 billion term loan B and a $75 million revolving line of credit, said the person, who declined to be identified because the terms are private.

Sony is buying the unit with the estate of Michael Jackson, Mubadala Development Company PJSC, Jynwel Capital Ltd, the Blackstone Group’s GSO Capital Partners LP, and David Geffen, according to a Nov. 11 statement. Vivendi SA’s Universal Music Group will buy EMI’s record labels, home to Katy Perry and Coldplay, for 1.2 billion pounds ($1.9 billion).

A term loan B is sold mainly to non-bank lenders such as collateralized loan obligations, bank loan mutual funds and hedge funds. In a revolving credit facility, money can be borrowed again once it’s repaid; in a term loan, it can’t.

To contact the reporter on this story: Krista Giovacco in New York at

To contact the editor responsible for this story: Chapin Wright at

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