U.S. News

Terra Firma Gains 26% Stake in EMI, Deadline Extended


Private equity firm Terra Firma Capital set one last deadline on its 2.4 billion pound ($4.9 billion) offer for EMI Group on Friday after reporting that more than a fourth of the music company's shares now backed the offer.

It was the first significant surge of support for the bid by Terra Firma, which reported last week that it had won acceptances from holders of less than 4 percent of EMI shares.

Many shareholders were believed to be holding out for a counter-offer from Warner Music Group , an on-again, off-again suitor for EMI, but Warner ruled itself out of the bidding earlier this week.

Terra Firma, through its takeover vehicle Maltby Ltd., said it had acceptances for 26.2% of the shares and extended the deadline until July 29, which it said would not be extended.