Seagram Co. on Tuesday tapped Universal Music Group Chairman Doug Morris to head the company’s music business after it combines with Polygram NV, giving Morris the reins of the world’s largest music company.
Morris will become chairman and chief executive of the combined music business after the Canadian beverage and entertainment company completes its planned $10.4 billion purchase of the 75 percent of Polygram owned by Royal Philips Electronics NV.
The 59-year-old former songwriter has led a turnaround at Universal’s music business since joining the company in 1995. Morris started the Universal Records label and was instrumental in the purchase of half of Interscope Records, moves that have helped increase Universal’s share of the North American music market.
“There’s no question that Universal has been on a roll the last couple years,” said analyst Chris Dixon of PaineWebber. “They’ve done a terrific job revitalizing it.”
The appointment comes a day after CEO Alain Levy said he’ll leave Polygram.
The company, which will keep the Universal Music Group name, will combine Polygram labels including A&M Records and Mercury with Universal labels such as MCA Records.
