Ex-ITV boss takes over at EMI Music as CEO goes

*EMI Music CEO Leoni-Sceti to leave on March 31

*Non-exec chairman Charles Allen to get exec role

LONDON, March 10 (BestGrowthStock) – EMI Music, which is seeking new
funds to avoid breaching debt covenants, said Chief Executive
Elio Leoni-Sceti would step down shortly, just a month after he
was tasked with finding a new business plan.

EMI, home to Robbie Williams and The Beatles, said
non-executive chairman and former ITV (ITV.L: ) boss Charles Allen
would become executive chairman. It did not give a reason for
Leoni-Sceti’s departure.

EMI, which is owned by private equity group Terra Firma, has
warned of a “likely significant” shortfall when the covenants on
its 2.6 billion pound ($3.88 billion) debt are tested at the end
of this month, meaning it could risk losing control of the
group. [ID:nLDE6132NY]

Terra Firma is also embroiled in an increasingly nasty legal
dispute with Citigroup (C.N: ) relating to the advice and
financing the U.S. bank provided to enable the private equity
group to buy EMI in 2007. [ID:nN04159832]

And it has also been repeatedly linked with a possible tie
up with Warner Music Group (WMG.N: ), which could rise up the
agenda again because Allen took a leading role in consolidating
the British broadcasting sector.

Leoni-Sceti joined EMI, now the smallest of the four major
record labels, in July 2008.

“Our goals for EMI Music remain the same,” Allen said. “I
will support and guide the group’s strong team, keep EMI’s focus
on creativity and superb artist and repertoire, and deliver a
digital platform.

“This is a great business — our task is to ensure it has a
great future.”

Allen was chief executive of Britain’s biggest commercial
free-to-air broadcaster ITV from 2004 to 2007 but he stood down
after complaints from investors who criticised the quality of
the programme making.

EMI posted a full-year 1.56 billion pound net loss in
February. Leoni-Sceti will leave on March 31.

Stock Market Money

(Reporting by Kate Holton; Editing by Erica Billingham)

Ex-ITV boss takes over at EMI Music as CEO goes