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Sony, which announced the deal in May, sought
EU approval for the deal last Friday.
The proposed acquisition is the boldest strategy move by its new
CEO Kenichiro Yoshida, which would give it rights to 2.1 million
songs from artists such as Drake, Sam Smith, Pharrell Williams
and Sia.
EU antitrust enforcers can clear the deal with or without
concessions or open a four-month investigation if they have
serious concerns.
The Japanese group, which currently owns a 30 percent stake in
EMI, wants to buy Mubalada Investment Co's 60 percent stake. In
July, it acquired the estate of Michael Jackson's minority share
of EMI.
The music industry has grown in recent years, driven by the
popularity of fixed-price music streaming services such as
Spotify <SPOT.N>, Apple Music, Google Play, SoundCloud and
YouTube.
Independent music labels group Impala has criticized the Sony
deal, saying it would give the company too much market power in
both its recording and publishing catalogs, allow it to promote
its global repertoire both on radio and in playlists, and be
better able to attract songwriters with better terms.
"This transaction would disrupt competition and harm consumers
in an already overly concentrated music market. Given recent
precedents set by the European Commission, we believe Sony's
takeover will face stiff opposition," said Helen Smith, Impala's
executive chair.
The Commission approved Sony and Mubadala's acquisition of EMI's
music publishing business in 2012 in return for hefty
concessions, including the sale of the worldwide publishing
rights to four catalogs and the musical works of 12 composers.
(Reporting by Foo Yun Chee, editing by Louise Heavens)
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