WMG Approved For IPO As Saudi Buyout Rumor Swirls
Warner Music Group has been approved to IPO, according to an updated SEC filing.
No date for the IPO has been set.
Warner confirmed the SEC update in statement:
“We have been approved to list our Class A common stock on Nasdaq. We and the selling stockholders negotiated the initial public offering price per share with the representatives of the underwriters and, therefore, that price may not be indicative of the market price of our Class A common stock after this offering.”
At the same time, however, Saudia Arabia’s Public Investment Fund is rumored to have made an offer for Warner Music Group just weeks after taking a $500 million stake in Live Nation.
WMG is reportedly valued at $12.5 billion.
“There’s one other bid in the mix, and it will come down to a number,” a source told the Hollywood Reporter.
In February, the fund reportedly made an offer to buy a small stake in WMG for $750 million just before WMG submitted its IPO paperwork .