After months of outcry from independent-music trade organizations, European regulators are officially preparing to investigate Universal Music Group‘s proposed $775 million acquisition of Downtown Music.

The European Commission said on Friday it would investigate Universal Music Group's planned $775 million acquisition of independent music services company Downtown Music, confirming earlier media reports.

Universal Music Group’s $775 million bid for Downtown Music Holdings LLC faces an investigation by the European Union’s deals watchdog due to concerns the plan could stifle competition for services to artists signed with independent labels.