The European Commission has given conditional approval to Universal Music Group’s Virgin Music Group division’s $775 million purchase of Downtown Music Holdings. On February 13, 2026, it was announced that the deal was approved. This came after UMG agreed to sell Downtown’s royalty accounting platform, Curve Royalty Systems, to ease concerns about competition. This makes it easier for UMG to combine important Downtown subsidiaries like FUGA, CD Baby, and Songtrust, which will improve services for independent artists and labels.
In July 2025, the European Commission started a Phase II investigation after worrying that UMG might be able to get sensitive information from Curve that could hurt other labels. In December 2025, UMG suggested selling Curve in its entirety, including its employees, contracts, and software. The EC decided that this was enough to keep competition in the market. Curve will run on its own until it is sold to a buyer who has been approved by the EC.
The deal, which was first announced in December 2024, gives UMG more power in music publishing and distribution as demand for independent music grows. Both UMG and Downtown were happy with the decision, which they said would be good for artists and fans all over Europe. This merger shows that the global music business is still getting smaller.
