Sharewatch: GWR Boosted By New Digital Initiative

Commercial radio group GWR was seen in focus yesterday, with shares rising by 1.18% after revealing plans to invest more than £4 million in the launch of a new digital service that will deliver a range of multi-media content direct to mobile phones.

The new operation, formed as part of a joint venture with BT Wholesale, is expected to provide a significant new revenue stream for GWR. The current business plans suggests it could bring in an extra £5 million for the commercial radio company in its first year (see GWR To Boost Digital Radio With Multi-Media Initiative).

Global advertising giant WPP also performed well yesterday, with shares climbing 2.25% higher after announcing a 6% increase in revenues for quarter one 2004. The rise puts the company’s revenues at £960 million thanks to the third consecutive quarter increase for the group (see WPP Upbeat As Revenues Continue To Rise).

Elsewhere, Daily Mail & General Trust saw shares dip by 1.42% to close at 661p. The newspaper group is currently battling to take control of the Daily and Sunday Telegraph from beleaguered Hollinger International. However, reports suggest the deadline for bids has been put back by ten days to give interested parties more time to examine the media group’s financial figures.

The FTSE 100 closed up 1.3% yesterday at 4,547.2, although traders said the market was playing catch up to US indices after the UK national holiday on Monday. The FTSE 250 gained 0.3% at 6,228.8.

The closing prices of media company shares on Monday were:

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