The business on...Guy Hands, Founder, Terra Firma
Saturday 12 June 2010
Hello Guy Hands, the private equity investor, who founded Terra Firma in 2002 after a stellar career at Goldman Sachs and Nomura, where he made his fortune. And goodbye EMI, Terra Firma's most troublesome investment – if the private equity company doesn't come up with £105m by Monday, it will lose control of the music company, best known as the home of the Beatles.
We can work it out
Not this time. Terra Firma bought EMI with the help of £2.6bn of funding from Citigroup, with whom it has since had a spectacular falling out. A bitter legal spat between the two is ongoing, but unless Citigroup gets its £105m, it can take over at EMI.
Mr Hands has had some, asking investors in Terra Firma to put their hands in their pockets in order to raise the necessary funds to continue the work of turning EMI around. Though nothing is official, the money is thought to have been found.
I feel fine
Don't get carried away. Though Mr Hands is expected to beat this funding crunch, the EMI deal is a long way from being out of the woods. Agreed at the height of the cheap debt bubble, Terra Firma's £4.2bn purchase of EMI now looks to be a monument to the excesses of the highly leveraged takeover culture. This is going to take quite some sorting out.
Can't buy me love
That's another problem. Many of EMI's artists haven't exactly fallen head-over-heels for their label's new owner. There have been high-profile disagreements with some of them, while cost cuts and management shake-ups haven't gone down well at the business itself.
If only they could. The Citigroup legal action is due in court in the autumn and there doesn't seem much prospect of peace breaking out. And Mr Hands isn't going to be seen in EMI's London headquarters any time soon. Not least because he has moved to Guernsey for tax reasons and sworn not to return to the UK.
- 4 Frankie Boyle on Scottish independence: 'In the Interests of Unity, F**k Off'
- 5 Florida couple forced to register as sex offenders for having sex on public beach
Boston Marathon runner's search for mystery man she kissed ends with letter from his wife
Italian police 'reveal' what Jesus looked like as a young boy
Florida couple forced to register as sex offenders for having sex on public beach
Mysterious 'X-Files' sounds heard miles above the Earth
Met Gala 2015: Beyoncé manages to out-skimp Rihanna, Miley and Kim Kardashian with near-naked ensemble
In defence of liberal democracy
General Election 2015: Post-election 'shambles' looms as 70 per cent of voters say SNP 'should not be able to veto UK government policies'
The Rothschild Libel: Why has it taken 200 years for an anti-Semitic slur that emerged from the Battle of Waterloo to be dismissed?
General Election 2015: UK will be 'run for the wealthy and powerful' if Tories retain power, Labour warns
General election live: SNP suspends two members for disrupting Labour rally
Schools forced to act as 'miniature welfare states' with teachers buying underwear and even haircuts for poor pupils
iJobs Money & Business
£60000 - £70000 per annum + benefits : Ashdown Group: A highly successful, glo...
£25000 - £30000 per annum + benefits: Ashdown Group: A global leader operating...
£27 - 35k + Bonus + Benefits: Guru Careers: A Management Accountant is needed ...
£40-50k + Benefits.: Guru Careers: A Project Manager / Business Analyst is nee...