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Topic History of: Ten years ago Eric Nicoli was trying to persuade me to replace Ken Berry at EMI
Max. showing the last 5 posts - (Last post first)
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JK2006 |
Well DJ, my conversations with Eric (who I like a lot) were very different from your assumption. I would have immediately created a small, stand alone company/division dealing with online, internet music. I would have started wholly owned online radio and TV stations. I would have broken dozens of hits/acts in America. I would have made Rupert Perry the head of the employees and Paul Conroy the head of breaking and promoting the selected tracks.
But it was not to be. Satan intervened. |
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DJones |
I don't think you or anyone else would have made much difference. As long as Eric Nicoli was in command, there was no real long-term strategy. Only short term actions (cost reductions), to lift the share price and make the company attractive for a buyer.
The great mystery (to me) is why Nicoli never made a deal. There were at least 3 or 4 (serious) chances to sell EMI. Even as late as in the summer of 2006 he could have sold the EMI Group for around 320 pence/share to Warner Music (30% more than Terra Firma paid).
About the lawsuit against Citigroup:
If Terra Firma was really "tricked" into buying the EMI Group because the Citigroup pretended that another buyer was in the frame, than what does that say about the qualifications of Guy Hands & his comrades?
The EMI Group was "for sale" for more than 10 years (since the de-merger from Thorn in 1996). The shares were traded at the stock exchange and the company was valued according to market forces - including short term artifical highs and lows (80,5 pence!, 13/03/03) according to strategically placed rumours and buy/sell-orders).
If Guy Hands didn't look into the history of the share price / the numbers in EMI's books etc. before he paid twice the amount (on the basis of EBITDA) that Thomas H. Lee & Co. paid for the Warner Music Group, than he has only himself to blame. |
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JK2006 |
How different the music industry would be today if my life hadn't taken a different route
www.guardian.co.uk/business/2010/sep/07/...emi-deal-terra-firma |
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