Universal to Buy a Piece of Univision

In a deal with Spanish-language Univsion Communications Inc., Universal Music Group is helping itself to nearly half of the Latin music market pie. According to the Los Angeles Times, Universal Music Group agreed on Thursday to buy Univision's record division, a deal that is subject to regulatory approval, but would result in Universal gobbling up about 49 percent of the Latin music market.

Zach Horowitz, president and chief operating officer of Universal Music, negotiated the deal and said, "This deal is about following the changing demographics of the population of the country." He added, "This demographic is growing at a much faster rate than any other segment of the population. And we will have this treasure trove of a catalog that goes back 30 years and includes some of the biggest artists in Latin music today."

Two people close to the negotiations said the buying price was almost $140 million. That money will help Univision pay a fraction of the $10 billion debt its new owners got when they acquired the company last year. More importantly, the sale will allow Univision to get rid of a noncore asset to its company.