Sony Music has completed its acquisition of distributor Awal, and says it will become a new division within the company’s artist and label services arm “enhanced by the technology and network” of its new sister subsidiary The Orchard. However, this isn’t quite the end of the story of this deal. The UK’s competition regulator, the CMA, is investigating the acquisition.
You can read the CMA’s enforcement order, also published yesterday, here. It sets out the restrictions Sony Music and Awal must operate under until its investigation is completed: from carrying on operating Awal as a separate business, including functions from IT to customer and supplier lists and not transferring staff between the two companies. Sony said it “continues to work closely with the CMA to secure a positive outcome later this year”.
Get A Free Music Ally Account
Access unlimited News articles on the site, PLUS a trial of Music Ally’s subscriber-only services, including our industry-leading daily Bulletin email.