Ulster TV has withdrawn from bidding for the nine GCap Media Stations currently under auction, leaving the path open for the remaining contenders.
According to a report in this morning’s
Guardian, the Local Radio Company, UKRD and Absolute Radio are all considering making an offer for the GCap radio stations.
GCap announced plans to dispose of the stations in November, with MFM, The Buzz, Coast FM, Champion FM, Gemini FM, Plymouth South, Orchard FM, Latern FM and South Hams up for sale (see GCap Media Sells Stations And Announces Rebrand Plans).
GCap saw a poor start to 2006, with industry analysts claiming that advertising revenues for the media could fall by as much as 15% in January. The pessimism comes on the back recent changes at Capital Radio, resulting in advertising airtime halving in December, part of a long term plan to boost listeners (see GCap Advertising Revenue Forecast To Drop By 15%).
GCap’s latest trading statement was not optimistic, showing a drop of 27% in operating profit in the six months to the end of September, reaching just £14.7 million. Revenues for the group were also shown to be down by 11% at £111.6 million (see Audiences and Profits “Unacceptable” says GCap’s Bernard).
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