Terra Firma, the UK buyout house run by Guy Hands, is entering negotiations with Citigroup – lenders to music publisher and Terra Firma portfolio company EMI – to restructure the music group’s $5.5 billion in debt, a source close to the situation has confirmed.
A formal proposal has not yet been made by the buyout house, but Terra Firma is offering to inject £300 million (€347 million; $483 million) of fresh equity into the business in exchange for a write-down in the music group’s debt.
