Terra Firma 'All In' With EMI


LONDON (CelebrityAccess MediaWire) — EMI recieved the latest infusion of $152.9 million of new cash from Terra Firma, and according to some analysts, they are, in poker parlance, pot committed. EMI was facing a 105 million pounds payment to Citigroup in order to remain within the terms of their loan and the infusion of cash from EMI will let the label stay clear of a Citigroup takeover.

According to the Wall Street Journal, Terra Firma's most recent investment in EMI now accounts for as much as 30% of two of their most recent investment funds; the 2.1 billion Euro Terra Firma Capital Partners II LP and the 5.4 billion Euro Terra Firma Capital Partners III LP. One investor has put fund III's initial return on investment at -52.6% percent

"Terra Firma is putting it all into EMI. If it blows up, they are finished. It's that binary," a former investor who has divested his Terra Firma holdings told Reuters "It's a high concentration, high risk strategy." – CelebrityAccess Staff Writers