Companies were partners in two labels
LONDON -- Typhoon has bought out EMI Music's stake in deuce Hong Kong-based joint ventures and has bought EMI Music Taiwan, dramatically retrenchment EMI's physical Chinese presence.
EMI has agreed to sell its bet in articulation venture companies in China and Hong Kong to Typhoon, the company headed by industry veteran Norman Cheng, erstwhile EMI Music Asia president. Since 2003, the companies had been partners in the Hong Kong-based record label Typhoon Music and label/artist management company Gold Label.
EMI has also sold EMI Music Taiwan to Typhoon, which also is based in Hong Kong. Under the new arrangements, Typhoon will be EMI Music's exclusive licensee for physical distribution of international repertoire in China and Taiwan, spell EMI has the option to release Typhoon artists internationally. Typhoon also becomes a nonexclusive licensee for EMI digital repertoire in China and Taiwan.
Although the terms of the deal were non disclosed, Billboard understands that EMI has the option to purchase back its stake in the companies at future dates. In the region, EMI Group retains control of its EMI Music Hong Kong arm.
"We ar delighted to have renewed our agreement with Norman Cheng world Health Organization is the most successful pioneer in the Asian record business," said EMI Music chief Executive and COO Chris Roling in a statement. "Chinese music is a identical exciting emerging market with longer term growth potency -- in particular in digital -- simply still with economic and other challenges such as high rates of piracy. This new corporate structure will allow us to reduce our cost qaeda while providing EMI Music's international artists with a market-leading spouse for the release of their music in the PRC and Taiwan."
"I am pleased to be able-bodied to announce this newfangled development which sees Typhoon continuing to work tight with EMI and its international artists in the PRC," Cheng said. "It provides Typhoon with the unique opportunity of now looking at the entire Greater China region and realizing the potential that it offers artists -- both Chinese and international -- and consumers everywhere. Yes, these are intriguing times for the world music industry, but with consumers listening to and having more access to music than ever ahead, it presents many of us, particularly in the PRC, with great new business and artistic opportunities."
Typhoon and Gold Artists affected by the deal let in Taiwanese pop acts Jolin Tsai and A-mei, along with Hong Kong isaac Bashevis Singer Ronald Cheng, who is the son of Norman Cheng. EMI was unable to remark on whether the treat would solvent in job losses.
