BRUSSELS, Belgium (CelebrityAccess MediaWire) — While the benefits that could stem fro a merger between EMI and Warner Music Group are a hot topic among analysts, one trade organization sees the deal resulting in tougher market conditions for independent music companies across Europe.
The Brussels-based Independent Music Companies Association, otherwise known as IMPALA, an industry group composed of more than 2,500 independent music companies in Europe, predicts that if such a deal were to take place, it would raise the cost of doing business for indie music labels. The gropu reportedly said it would “forefully” oppose any merger between the two music giants.
EMI recently offered WMG shareholders $28.50 a share to consider a buyout, but was turned down. There is currently widespread speculation that the company could up the ante to $30 a share.
IMPALA is currently appealing last year’s decision of the European Commission to approve the merger between Sony and BMG. –by CelebrityAccess Staff Writers