EMI has been the subject of numerous takeover rumours in recent sessions, mainly on the back of its poor performance over the past few years against a rising market. Even having the likes of Robbie Williams, Coldplay and Gorillaz on its roster has done little to cheer shareholders.
Takeover rumours did the rounds again yesterday, with more talk of a link-up with Warner Music, the recording division of the media giant Time Warner. However, dealers reported quality buyers piling into the stock as traders also speculated that Apple, the computing group that has revolutionised the music industry, maybe considering an offer for EMI. Apple's iTunes is by a long way the market leader in music downloading but does not own any content. One trader said: "Media assets are out of favour with investors and have been for a long while, but there are definite signs the cycle may be turning."
Source: Blackenterprise
Recommended Comments