Score Outdoor Sale To Create Third Force In Market

Scottish Radio Holdings (SRH) has agreed to sell Score Outdoor, its outdoor advertising division, to Clear Channel UK (CCUK) for a minimum of £33.5m.

Stevie Spring, chief executive of Clear Channel UK said, “It has always been our ambition to build the best billboard business in the UK and this deal is a core strand in that strategy. This merger will create a third national force in billboard advertising, providing advertisers with even greater choice and flexibility.”

It is intended that the transaction will create a business to rival Maiden and JCDecaux. Score Outdoor’s billboards across Scotland, the North West of England, the Midlands and the South West will be amalgamated with the business of CCUK’s More O’Ferrall, as the regions of the two businesses are complimentary, with few overlaps.

Jonathan Lewis, Managing Director of More O’Ferrall said, “This is exciting news for the Outdoor industry. This merger creates a wealth of opportunities for us to deliver even more targeted audience solutions. We will announce our detailed plans for the enlarged business in the months to come.”

The £33.5m cash payment is to be made on completion of the transaction, which is conditional on clearance from the Office of Fair Trading. Potential deferred payments on the deal could bring a further £24 million to SRH over the next four years, as the company focuses on the development of its radio stations and local newspaper portfolio. The deferred payments will be dependent on the achievement of certain gross sales targets at the newly enlarged More O’Ferrall business.

Clear Channel: 020 7478 2928 www.clearchannel.co.uk Scottish Radio Holdings: 0141 565 2202 www.srh.org.uk

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