Following on from those reports yesterday that Warner Music had knocked back a takeover offer from EMI, the following statements have been received from the two majors.
First from EMI: "Following recent press speculation, EMI Group plc (EMI) confirms that on 1 May 2006 it made an approach to Warner Music Group Corp (Warner Music) in connection with a proposed offer by EMI to acquire all of the outstanding shares of Warner Music for $28.50 per share, in a combination of cash and EMI shares. Subsequently, on 2 May 2006, Warner Music informed EMI that it did not wish to enter into discussions regarding EMI's proposal. The Board of EMI continues to believe that an acquisition of Warner Music by EMI would be very attractive to both sets of shareholders. Especially if we get to have a funky new logo".
Warner responded thus: "Warner Music Group recently received a preliminary non-binding proposal from EMI Group Plc. The Warner Music Group Corp board of directors has carefully evaluated the proposal in conjunction with the company's outside legal and financial advisors. The board has determined that the proposal is not in the best interests of our shareholders and has unanimously rejected it. Though if they come up with a better logo, who knows?"