RECORDING INDUSTRY Dutch Treat for Herb and Jerry

Polygram Records, the Dutch-owned music giant, wants to turn up its volume in a big way. Polygram aims to increase its 8% market share in the U.S. by acquiring respected independent firms, which are becoming a rare breed. In August the company paid $300 million to purchase Britain’s Island Records, a pioneer in reggae and progressive rock. Last week Polygram said it reached an agreement to swallow an even bigger target: A&M Records, the label founded by Tijuana Brassist Herb Alpert and promoter Jerry Moss. The price, which was not disclosed, was estimated at as much as $500 million.

Alpert and Moss started the company with a $200 investment 27 years ago in the garage of the trumpeter’s home in suburban Los Angeles. A&M, with sales of $300 million last year, has a stable of recording stars that includes Janet Jackson, Suzanne Vega, Toni Childs and Sting. Says Alpert, 54, who will continue to help run A&M after the merger is completed: “We’ll have more visibility and more muscle.”