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Ticketmaster, Live Nation Near Tie-Up?

TSC Staff

The boards of Ticketmaster(TKTM) and Live Nation(LYV) were expected to approve an all-stock merger of the two companies, and an announcement is tentatively scheduled for early Monday, according to reports.

The new entity -- to be called Live Nation Entertainment Inc. -- is to be overseen by a combination of senior management and board members from each constituent company, the Wall Street Journal reports.

The merger would combine the dominant concert promoter, ticketing company and artist-management concern.

The Journal reports Live Nation CEO Michael Rapino will retain his title in the new company. Ticketmaster CEO Irving Azoff is to be the new company's executive chairman and remain in command of Front Line Management, the company he oversaw until Ticketmaster acquired it last October. Barry Diller, currently chairman of Ticketmaster, is to be nonexecutive chairman.

People close to Live Nation and Ticketmaster have said they expect to win regulatory approval with ease because the two companies aren't really competitors, the Journal reports. Live Nation launched a ticketing service in January, and it currently handles ticket sales for a limited number of venues, all owned by Live Nation itself, the Journal adds.

The merger would create a company with almost $6 billion in revenue, the New York Times reports.

The merger is about a 50-50 deal with little or no premium for either company's shares. Both both companies will have seven board seats, the Times reports, citing people involved in the deal.