UK radio companies are shunning the auction of The Wireless Group (TWG), owner of talkSPORT, as they do not want to compete with the BBC, according to a report in the Independent on Sunday.
Most of the key players in the radio industry, including Chrysalis Group and Emap, have decided not to bid for TWG as the BBC dominates talk radio and owns the direct rival to talkSPORT, Radio Five Live.
Reports of the proposed sale of TWG began in February when The Times revealed that investment bank, Goldman Sachs, was advising the broadcaster following a “sale memorandum” earlier in the month.
Interest in TWG was expected to be high, with a spate of consolidation currently gripping the radio industry. The Group’s largest stakeholder, News Corporation, indicated that it is open to offers for the £75 million business, according to The Times.
Meanwhile, Capital Radio plc and GWR Group have announced the proposed name of the merged group, calling themselves GCap Media plc, with the consolidation of the companies looking to be completed in early May (see Capital Radio And GWR Name Merged Group).
The move follows the Office of Fair Trading’s decision not to refer the two companies’ merger to the Competition Commission, instead accepting undertakings by the two broadcasters to address competition concerns.
Elsewhere, Chrysalis has quashed suggestions of a tie-up between Chrysalis Radio and the Guardian Media Group, with GMG stating that its radio assets are not for sale, effectively ending the possibility of a takeover bid.
Chrysalis, however, remains unperturbed by the rebuttal, last month vowing to continue its search for acquisitions and merger opportunities
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