Universal Music said to buy BMG Music Publishing for $2 billion

LOS ANGELES -- Vivendi SA's Universal Music Group reached a tentative agreement with German media company Bertelsmann AG to acquire BMG Music Publishing for $2.05 billion in cash, a person familiar with the deal said Tuesday.\nThe agreement was expected to be signed as early as Wednesday, according to the person, who spoke on condition of anonymity, citing the confidential nature of the negotiations.\nBMG Music Publishing owns the rights to more than a million songs by recording artists such as Nelly, Maroon 5 and Mariah Carey, as well as classic hits by the Beach Boys, Barry Manilow and other entertainers.\nUniversal edged out a slate of rival bidders for the publishing unit, the person said.\nUniversal 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.\nBertelsmann put its music publishing business up for sale earlier this year to help finance a $5.8 billion bridge loan used to buy back a 25.1 percent stake held by Groupe Bruxelles Lambert.\nThe move, announced in May, freed Bertelsmann from the prospect of an initial public offering for the stake.