Antitrust Approval

Hollywood Video Seeks Antitrust Approval for Movie Gallery Merger

Authored by Mark Hefflinger on January 14, 2005 - 8:55am.

Portland, Ore. -- Hollywood Entertainment, the nation's second-largest video rental chain behind Blockbuster, announced that it has sought official antitrust approval of a buyout offer from Movie Gallery, the third-largest video rental chain in the U.S. Earlier this week, Alabama-based Movie Gallery offered $850 million for Hollywood, which operates 2,000 Hollywood Video and 700 Game Crazy stores. Oregon-based Hollywood also announced that it has received a "second request" from the Federal Trade Commission (FTC) in relation to an FTC investigation of a potential offer from Blockbuster to acquire the shares of Hollywood. Blockbuster previously offered $11.50 per share for Hollywood, but has said it would raise that offer if Hollywood granted full access to its books, and eliminated a qualification that Blockbuster never sidestep Hollywood's management with an offer proposed directly to Hollywood's shareholders.

tags: Hollywood Video | Antitrust Approval | Movie Gallery Merger |

FTC Gives Antitrust Approval to Sony BMG Record Label Merger

Authored by Mark Hefflinger on July 29, 2004 - 4:14am.

Washington -- The Federal Trade Commission (FTC) has concluded its antitrust investigation into the proposed merger of two of the world's five major record labels -- Sony Music and BMG -- and given the merger the green-light. The FTC also worked with the European Commission on that regulatory body's antitrust investigation into the merger; the EC granted its approval of the deal last week. The merger of Sony's and Bertelsmann's music businesses will create a joint venture, Sony BMG, which will become the world's second-largest record company, behind Universal. Opponents argued further consolidation in the music industry, which in the past two decades has seen a multitude of formerly independent labels swallowed by what will now be the "big four," would harm artists in the long run. "We now look forward to creating a global recorded music company comprising many of the world's most successful artists as well as a vast catalog of recordings," BMG said in a statement.