Irving Azoff’s concert company, Live Nation, has made a bid for Warner Music Group, according to two sources.
The company is understood to be most interested in buying the recorded music business of Warner, the No. 3 record company in the US.
Warner Music’s stable includes Kid Rock, Cee Lo Green and Josh Groban.
Live Nation is the latest company to emerge as an interested party. Warner is also being chased by KKR’s BMG Rights Management, Ron Burkle’s Yucaipa, Platinum Equity and Guggenheim Partners among several others. Sony and Universal have also expressed interest in pieces of Warner Music Group.
Some, however, said it would be difficult for Live Nation to mount a bid given its stock price and its debt levels.
“They just don’t have the cash,” said one source. “They would break their covenants.”
In a February interview with Bloomberg, however, Live Nation Entertainment’s Chairman Azoff said he was working closely with Liberty Media Corp’s chief John Malone, saying, “We’re on the prowl together,” referring to potential acquisitions.
A spokesman for Azoff said he had no knowledge of the bid and declined immediate comment.