More big changes in the major label world: Upstaging EMI's bid to merge with the Warner Music Group, an investors group lead by Canadian media mogul Edgar Bronfman Jr. has reached an agreement to buy the Warner Music Group from Time Warner for 2.6 billion dollars (US). This prevents further consolidation of the music industry since it halts the rumored merger with EMI and makes Warner Music a private company.

A Warner memo says the deal creates "the world's largest privately held independent music company… We view this transaction as a positive one for all of us at WMG. It is a return to the roots of this industry, when privately held, pure music companies set the pace. Indeed, the sole focus of the investor group is to create the world's premiere music company." The Warner Music Group includes Warner Bros Records, Reprise, Maverick, Atlantic, Sire and Elektra amongst others. Their stable of bands includes Green Day, The Distillers, Hot Hot Heat, Less Than Jake, Glassjaw, The Hives, The Living End, Avenged Sevenfold, The Kinison, My Chemical Romance and The Flaming Lips along with a large back-catalogue that includes the Talking Heads and The Ramones. The full press release is here.