Hands Seeks $3.2 Billion From Citigroup for EMI, Times Reports

Guy Hands is asking Citigroup Inc. to cut 2 billion pounds ($3.2 billion) from EMI Group Ltd.’s debt in exchange for withdrawing his lawsuit against the bank, the Sunday Times said.

Hands, founder of London-based buyout firm Terra Firma Capital Partners Ltd., is asking Citigroup to take a minority stake in the music recording and publishing company in return for writing down its 3 billion-pound debt by two thirds, the newspaper said, without saying where it got the information. The case is due to start in a New York court tomorrow.