The founder of Maverick Records hasn't lost her rebellious streak.

Madonna

Madonna is reportedly set to sign a much-rumored $120 million recording and touring deal with live entertainment promoter Live Nation Inc., a move that would officially end her longtime ties with Warner Music Group and position her outside of the traditional label system, according to the Associated Press.

The pop superstar's management informed Warner last week that she would accept Live Nation's offer after the record company refused to match the deal, the AP reported, citing a source close to the deal.

The terms of the deal indicate that the 49-year-old singer has more clout than ever, as she would receive a signing bonus of about $18 million and a roughly $17 million advance for each of three albums. A portion of the compensation would involve stock, the AP reported.

Madonna could also benefit significantly from the touring component of the deal, which gives Live Nation the exclusive right to promote her tours. In 2006, Madonna's Confessions Tour was the top-grossing tour ever by a female artist in history, grossing nearly $195 million over 60 shows.

The touring element was believed to be the linchpin of the deal, as Warner tried to strike a partnership with ticket retailer Ticketmaster to come up with a rival offer.

The proposed 10-year agreement would give Live Nation the rights to sell Madonna merchandise and license her name, and any revenue from such products would be split between the singer and the company, The Wall Street Journal reported. Live Nation also would have to pay $50 million in cash and stock to promote Madonna's tours.