Friday, May 6th, 2011 at 10:55 am
I still can’t get over the events that lead up to this. Bronfman on some evil genius sh*t getting rich off a failing company. Also interesting that the company is set to become private again. What does this all mean? I don’t really know. I don’t have 10 Billion in Russian energy money and I definitely don’t have a private militia. Interesting that there is speculation that dude might cop EMI as well. If this dude just wants to be loaded and enjoys the glamor of it all maybe he won’t care that Warner doesn’t make money. But that’s not usually how billionaires think. Time will tell. I do know that there is a lot of musical chairs going on right now in the industry. Not sure if the same faces at new places is really going to change anything.
According to Hypebot:
It’s official, the new owner of Warner Music Group is Russian billionaire Len Blavatnik and his Access Industries. The purchase price of $3.3 billion in cash or $8.25 per share represents a 34.4% premium over the volume-weighted 6 month average share price of $6.14. Some observers expect the investor to next take a run at EMI and combine the two companies.
Following the closing of the transaction, WMG will become a privately held company and its stock will no longer be traded on the New York Stock Exchange. In addition to stockholder approval, the transaction is subject to the satisfaction of customary closing conditions and regulatory approvals. It is anticipated that the transaction will be completed in the third calendar quarter of this year.
Blavatnik has had a seat on the WMG board for 4 years. Born in 1957 in Moscow, Blavatnik currently lives in New York and London. By some measures, he is the world’s 80th wealthiest man. Forbes estimates his fortune at $10.1 billion.