Time Warner sells recorded music business

Time Warner has confirmed that it has sold its recorded music and music publishing business for $2.6bn (€2.2bn).

The buyer is an investor group led by Thomas H Lee Partners, Edgar Bronfman, Jr.'s Lexa Partners, Bain Capital and Providence Equity Partners.

Time Warner will retain the right buy back a minority stake in the business.

Earlier today EMI pulled out of the race for Time Warner's recorded music division.

The music group said it had been unable to agree a deal with the US company that would be acceptable to both parties and in the interests of EMI's shareholders.

EMI is believed to have offered £1bn (€1.4bn).