Citigroup set to put struggling EMI up for sale

Bank took control of maligned label earlier this year

US bank Citigroup looks set to put struggling record label EMI up for sale.

The bank took control of EMI in February this year after it called in the label’s debt of over £3.4 billion.

The label had previously been owned by the Terra Firma company, with Citigroup loaning the money to allow its chairman, Guy Hands, to spearhead the takeover. However, Terra Firma could not get the label out of the red and the bank assumed control as a result.

According to Sky News, Citigroup has now announced that it has “initiated a process to explore and evaluate potential strategic alternatives, including a possible sale, recapitalisation or initial public offering for the company.”

Pink Floyd, Pete Doherty, Katy Perry, Robbie Williams and Gorillaz are amongst the artists signed to EMI.

EMI owned by a bank – how did it come to this?