Seagram Completes Deal to Buy Rest of Def Jam

Seagram Co. has concluded an agreement to pay about $100 million for the remaining 40% of Def Jam Music Group that it doesn’t already own, sources said.

Def Jam--home to such controversial rap stars as Foxy Brown, DMX, Jay-Z, Redman and Def Squad--was previously 60% owned by PolyGram, which Seagram purchased in December for $10.4 billion.

Seagram’s Universal Music Group recently restructured its U.S. record division and combined Mercury with Island and Def Jam to form one of its two major outposts on the East Coast. Seagram intends to turn Def Jam into the black music arm of the newly restructured unit, which is expected to soon be renamed Island/Def Jam.

Lyor Cohen, chief executive of Def Jam, is expected to be named co-president of Island/Def Jam along with John Reid--both of whom will report to Jim Caparro, chairman of the restructured music unit. Def Jam label founder Russell Simmons will retain his title as chairman of Def Jam.

Officials at Seagram’s Universal Music Group and Def Jam declined comment.