Scottish Radio Holdings Defensive Over Emap Interest

Scottish Radio Holdings (SRH) has responded to radio giant EMAP’s statement that it is interested in acquiring the group by saying that it will only support an offer for the company that reflects “the full and fair value” of its growth prospects, including a premium for control.

In a statement to the City, SRH said that it was confident about its future as an independent company, and that it is “well placed to continue to generate significant long-term shareholder value.” SRH also said that its current share price does not adequately reflect its value.

Emap has stated its interest in acquiring SRH, but has made no formal approach to the broadcaster since it acquired its 27% holding in the company in January (see Emap States Interest In SRH Merger).

The board of Emap said in a statement to the City that the radio assets of SRH would be an attractive acquisition, fitting well with the company’s existing radio portfolio.

However Emap has previously stated that any bid made for SRH’s portfolio would be made at a realistic price, with the company eager to avoid paying over the odds for the broadcaster.

Speculation about a takeover bid has been rife, since a report last summer in The Business, claiming that Emap chief, Tom Molney had drawn up plans to make a bid for the remaining SRH shares.

Elsewhere, Capital Radio and GWR are due to merge in May, creating the nation’s largest commercial radio station (see Capital Set To Merge With GWR In May).

The newly formed group will be called GCap Media plc, with the development of the new name involving input from both companies, with the brand identity being developed in-house at Capital Radio (see Capital And GWR Name Merged Group).

Emap: 01733 568 900 www.emap.co.uk Scottish Radio Holdings: www.srh.com

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