Oneword Restructures As Major Shareholder Pulls Out

Speech-based radio station Oneword has announced a raft of redundancies and a wide-ranging restructure of its operations following the withdrawal of one of its major shareholders.

The fledgling digital radio station is currently reviewing its commercial operations in an attempt to reduce costs after Hong Kong-based USI Holdings announced its intention to sell its 50% stake in the company.

UBC Media, which owns the remaining 50% stake, is currently in negotiations with its joint venture partner to acquire complete control of Oneword. However, the terms of what would be somewhere in the region a £1.4 million deal are far from finalised and the future of the station remains uncertain.

Commenting on the situation, Tim Blackmore, chairman of Oneword, said: “Our aim now is to restructure the business to be able to deliver a profit and build on the strong reputation it has enjoyed to date. In the immediate future there will be little change in the nature of the output.”

However, staff levels at the station will be ‘significantly reduced’ in the short to medium term and industry insiders suggest it will run a skeleton service while its ongoing financial viability is considered.

UBC is one of the main proponents for digital radio in the UK and claims to be completely dedicated to ensuring the survival of Oneword. The company will continue to invest £500,000 a year in the station, but may not be able to maintain it without the help of an outside investor.

Oneword currently targets adults aged between 25 and 54 with a spoken word format dedicated to plays, books, reviews and comedy. The station currently attracts around 61,000 listeners, but its format looks likely to be changed later this year in an attempt to drive up audiences.

Advertising sales for the station had been handled in-house, but staff from the UBC sales force are currently being briefed by Oneword in the hope of maintaining a distinct sales effort for the station.

UBC Media: 020 7453 1681 www.ubcmedia.com

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