Andre Yoskowitz
29 May 2007 12:19
Last week, the European Commission gave approval for the Universal Music Group to take over BMG Music Publishing, bringing a close to the $2.1 billion USD merger that began five months ago.
The EC, the EU's antritrust authority said in its decision that Universal had responded to the charges by "offering to sell off the rights of key labels in the music giant's roster." These concessions include the sale of Rondor U.K., Zomba U.K., BBC Music, 19 Songs, 19 Music as well as its European license for the Zomba U.S. catalog.
EU competition commissioner Neelie Kroes added, "I am satisfied that the significant remedies will keep these markets competitive and ensure that consumers will not be harmed by the merger," she said.
The new merged company will now go under the name Universal Music Publishing Group brand.
The takeover was cleared months ago in the US by the FCC and the EU approval was the last hurdle for the merger could be completed. BMG has an active catalogue of over one million songs.
Source:
Washington Post