Report: UMG To Purchase BMG Music Publishing For $2.05 Billion
September 5, 2006 at 2:35 PM (PT)
The AP reports that UNIVERSAL MUSIC GROUP has reached a tentative agreement with BERTELSMANN AG to acquire BMG MUSIC PUBLISHING for $2.05 billion in cash. The agreement is expected to be signed as early as tomorrow (9/6), according to a source. UMG is already the biggest recorded music company in the world. The BMG publishing unit is expected to be absorbed by UNIVERSAL MUSIC PUBLISHING GROUP, making it the largest music publisher.
In winning the right to buy the publisher, UMG bested offers by WARNER MUSIC GROUP, VIACOM, and well-known entertainment mogul and current MARTHA STEWART LIVING OMNIMEDIA Chairman CHARLES KOPPELMAN, who teamed with CHICAGO-based buyout firm GTCR.
For more on the story, click here.