Barring a last-minute twist, the boards of both companies were planning to meet to approve the merger after the Grammy Awards on Sunday night, people close to the deal said.
The merger, if approved by regulators, would create a company with almost $6 billion in revenue and a dominant position up and down the music supply chain: control of major concert halls, ticketing and artist management. It would create a major new power center in the music industry at a time when the big record labels are still trying to formulate a lasting business model in the digital age.
The deal is filled with a cast of colorful characters, including Barry Diller, the media mogul who oversaw Ticketmaster when it was part of IAC/InterActiveCorp, will become the combined companys chairman, people involved in the deal said.
Irving Azoff, the chief executive of Ticketmaster who managed the bands Guns N Roses and the Eagles, will become executive chairman of the combined company, to be called Live Nation Entertainment. He will also be the chief executive of Front Line Management, the largest artist management firm, which he had sold to Ticketmaster and which will become a unit of the combined company.
Michael Rapino, the chief executive of Live Nation, a leading promoter of live entertainment, will become the chief executive and president of the combined company.
The merger is about a 50-50 merger with little or no premium for either companys shares; both companies will have seven board seats, these people said. It is expected to come under intense antitrust scrutiny, and could become a test of the Obama administrations views on antitrust matters.
Last week after news of the possible deal talks became public, a cacophony of voices raised reservations, from a New Jersey congressman to Bruce Springsteen. And behind closed doors music industry executives were meeting with lawyers to see what it would mean for them.
