The company is thought to have offered $3bn (?1.8bn) for the entire company - $200m (?122m) more than BMG - however this has yet to be confirmed.
As previously reported on musicweek.com other contenders for the music group included Leonard Blavatnik's Access Industries, Sony/ATV and Live Nation.
MacAndrews & Forbes Holdings, Permira, Platinum Equity, Gores Group, Guggenheim Partners and Promthus have also put in offers for all or parts of the company.
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