EU clears way for Universal-BMG

European Union regulators gave Universal Music Group clearance to buy BMG Music Publishing for $2.09 billion in a deal that would create the world's largest music publishing company.

The EU warned, however, that its "serious doubts" about the deal's effect on online music were allayed only by the companies' plan to sell the rights to some hits from the '80s and '90s by artists such as Justin Timberlake, Iron Maiden and R. Kelly.

EU approval was the last hurdle for the deal, which Universal said would close shortly. It is separate from the merger of the Sony-BMG music units more than two years ago that the EU is reexamining.