The FT takes a swipe at Terra Firma, the private equity shop which paid $4.7 billion for EMI this summer: The paper says Terra Firma’s Guy Hands is now “in a wild panic about his impulsive acquisition and how he’ll manage to make a return on the record company he bought on the back of 43 pages of basic due diligence.”
This is the second time we’ve seen this story in the last 30 days; the New York Post told a similar tale in late October. Two possible conclusions: Either Hands really did make an enormous and capricious blunder, or there are a lot of people who wish Hands ill and are using the press to do their bidding. Alternate conclusion: Both of the previous statements are true.
Meanwhile, similarly sized Warner Music Group (WMG) now trades below $7 a share, down from $26.80 a year ago. Investors value the company at a mere $1.05 billion.