Rap star and record producer P Diddy could soon announce a new multi-million dollar deal with media company Vivendi Universal, reports have said.

P Diddy, whose real name is Sean Combs, was said by industry insiders to be in negotiations with Vivendi Universal for a deal worth between $20m (12.8m) and $50m (£32m) over several years.

The terms of the proposed deal were said to be still under discussion but could involve the singer's own music company Bad Boy Entertainment.

Combs became one of the biggest pop stars of the 1990s with a string of hip hop hits including I'll Be Missing You, recorded under the name Puff Daddy.

He also produced acts such as Faith Evans and the rapper Notorious BIG, who was assassinated in 1997.

Combs had said he would never sell any part of his media empire for anything less than $100m.

Combs wanted $100m for his record label

"I've been quoted as saying I would not sell any part of my company for less than $100 million and I still feel that way," Combs said in June.

He had bought back control of his Bad Boy Entertainment from a 50-50 deal he had had with major label Arista.

Smaller deals

After his buy-out the rapper said he was in talks with a number of record companies, including Vivendi, Time Warner and Sony.

Combs' apparent failure to get a $100m follows a trend for smaller deals for big-name artist in recent times.

Mariah Carey was signed to EMI for a £100m deal but was later given a $28m (£17.9m) severance package after her album Glitter sold poorly.

She then signed to Def Jam for a three-album deal worth $20m.

Bad Boy Entertainment was thought to be losing millions of dollars a year for Arista after the label's hits dried up earlier this decade.

Combs used to go out with Jennifer Lopez

But it is thought to have reversed its fortunes by the time Combs bought it back.

The star has had a difficult few years.

He was on trial for gun charges after an incident in a New York nightclub in 1999.

And his relationship with actor-singer Jennifer Lopez ended during the trial. She later married her dancer, Cris Judd.