Bauer bids for five Global stations

Bauer Media is currently in talks with Global Radio to buy five of its Midlands stations.

Global Radio offered to dispose of the five Midlands stations in a bid to appease the Office of Fair Trading, after its £375 million acquisition of GCap Media in April 2008 (see Global Offers To Sell Off Midlands Stations).

At the time, senior director of mergers at the OFT Simon Pritchard, said: “The divestment remedies in the Midlands, where efficiencies were not sufficient, are about restoring competition to make sure customers will not be harmed.”

Bauer Media has emerged as the preferred bidder for Heart 106 in the East Midlands and GCap’s BRMB, Beacon, Mercia and Wyvern in the West Midlands.

The Kiss FM owner is thought to of faced competition from former Chrysalis Radio chief Phil Riley and Midlands radio entrepreneur Mike Owen.

However, a period of exclusive talks is now set to take place between Bauer and Global.

The five stations are estimated to be worth between £15 million and £20 million – a substantial fall from its first pricing of approximately £40 million, due to the current economic climate.