A proposed merger involving music label Sony will be probed further after concerns about the deal were raised.
The Competition and Markets Authority (CMA) has referred Sony Music’s acquisition of AWAL and Kobalt Neighbouring Rights for an in-depth investigation.
The watchdog raised concerns over the merger last week, suggesting that Sony’s increased market share could worsen deals for artists.
The escalation suggests Sony did not respond to CMA’s initial findings within the five days granted.
An independent inquiry panel will now consider whether the merger has caused “a substantial lessening of competition within any market,” the CMA says.