Warner Music Group WON’T be making a proper takeover supply for Imagine in spite of everything.
Warner confirmed final month that it was contemplating making a EUR €17-per-share-plus supply to purchase Imagine.
To tell its resolution – both approach – Warner requested entry to “confidential info” about Imagine’s funds by way of a ‘information room’.
Following some back-and-forth between Imagine and the AMF – the French monetary watchdog – Imagine’s board granted WMG entry to Imagine’s ‘information room’ on March 25.
Warner then had until tomorrow (April 7) to make a takeover supply.
Nevertheless, in the present day (April 6), WMG has confirmed that it has determined not to pursue an acquisition bid for Imagine.
Stated WMG in a press release in the present day: “Warner Music Group Corp. (“WMG”) introduced in the present day that, after cautious consideration, it has determined to not submit a binding supply for Imagine.
“WMG thanks the Advert Hoc Committee and Imagine’s management staff for his or her time and cooperation, and needs the corporate each success in future.”
The ‘Advert Hoc Committee’ referenced by WMG constitutes the members of Imagine’s board who usually are not concerned with/impacted by an current takeover plan for the French firm by a consortium led by Denis Ladegaillerie.
Ladegaillerie, the founder and CEO of Imagine, is a member of that consortium alongside EQT and TCV.
In February, this consortium revealed it had tabled a EUR €15-per-share supply for Imagine, valuing the corporate at round USD $1.6 billion.
The Ladegaillerie consortium stated it had already reached non-public agreements to amass 71.92% of Imagine by way of ‘Block Acquisitions’ at this worth.
Imagine’s ‘Advert Hoc Committee’ stated in the present day in response to WMG’s resolution: “The Advert-Hoc Committee of Imagine has taken notice of Warner Music Group’s resolution to not submit a binding supply for a mixture with Imagine (“WMG”), as set out in Warner Music Group’s press launch of earlier in the present day.
“The Advert-Hoc Committee will evaluation the state of affairs with all events (together with the Consortium composed of EQT, TCV and Mr Denis Ladegaillerie, in addition to the historic shareholders of Imagine) to find out subsequent steps in relation to the doable evolution of the Firm’s management and can inform the market accordingly.”Music Enterprise Worldwide
