Advertisement

EU puts Sony BMG merger probe on hold

BRUSSELS, March 23 (UPI) -- European regulators have delayed the Sony-BMG merger probe because the record giants withheld information, the European Commission said Friday.

"The clock has stopped on this case until such time as the information is received," the European Union's executive body said in a statement.

Advertisement

The halt means the commission most likely will not rule on the Sony Music Entertainment and BMG Entertainment merger by its original July 2 deadline, a spokesman said.

Sony and Bertelsmann representatives were not immediately available for comment.

Regulators are re-examining the 2004 deal, which the EU initially approved, because an EU court said the companies failed to prove the deal would not create or strengthen a monopoly among the major music recording companies.

The combined Sony BMG Music Entertainment held a 21.5 percent share of the global music market in 2005, after market leader Universal Music Group's 25.5 percent.

Critics charge the market is dominated by four record groups, which also include EMI Group and Warner Music Group.

Warner and EMI have tried to merge at least three times since 2000, including an attempt that failed March 2.

Latest Headlines

Advertisement

Trending Stories

Advertisement

Follow Us

Advertisement