BERLIN – German indie Edel Music has posted sales of DM 1.18 billion ($532 million) for 2000, up 162%, but with a loss $13 million, up from $9.2 million in 1999.
Edel’s share price has plummeted 63% over the past year in the wake of the record company’s acquisition-led expansion.
Speaking at Edel’s GM May 16, Edel CEO and founder Michael Haentjes apologized for failing to meet certain targets and admitted “causing unnecessary damage” last year.
Edel’s debt is currently $186 million and climbing.
Haentjes said he was anxious to pull his company out of the hole and has indicated finding new investors or selling off some subsids are options.
But despite recent reports that German media giant Bertelsmann was interested in picking up Edel’s 12.6% stake in German music channel Viva, Haentjes said he would not sell up at Viva’s current share price.
For the moment, Edel has secured funding for the next 12 months from German banks.
Haentjes said Edel is focusing on consolidating its acquisitions and increasing business in the U.S., where the company is most successful.