Universal Music has gained two months' more breathing space as it battles to persuade the European commission to approve its £1.2bn takeover of EMI.
It had previously been thought that Universal's parent company Vivendi would have to hand over the £1.2bn to EMI owner Citigroup in September, 10 months after the deal was announced, regardless of whether the takeover had been cleared.
However, it is understood that, at Citigroup's request, the deadline has now been pushed to the end of November.
Universal – home to Lady Gaga, Take That and Rihanna – had offered to sell Virgin Records, currently part of EMI, to reduced the combined company's market share. But selling the label behind the Spice Girls has not proved enough to win a tentative endorsement from the commission, which has asked Universal to offer more concessions.
Without disposals Universal and EMI would together account for 40% of all music sold worldwide, and in many European countries the proportion would be even higher. The enlarged company would have only two main rivals – Sony Music and Len Blavatnik's Warner Music.
Citigroup took control of EMI – home to the Beatles, Katy Perry and Tinie Tempah – after it decided that it was not able to contend with its debts under its previous owner, Guy Hands's Terra Firma.
• To contact the MediaGuardian news desk email editor@mediatheguardian.com or phone 020 3353 3857. For all other inquiries please call the main Guardian switchboard on 020 3353 2000. If you are writing a comment for publication, please mark clearly "for publication".
• To get the latest media news to your desktop or mobile, follow MediaGuardian on Twitter and Facebook
