GCap And Global Radio Talks Continue

GCap Media said today that it remains in talks about a possible takeover by Global Radio.

Charles Allen’s Global Radio has until 5pm today to decide whether to proceed with its proposed £371 million takeover (see Deadline Extended For Global Radio GCap Bid).

GCap released a trading update this morning which said: “The company remains in discussions with Global Radio regarding a possible offer for the company and a further announcement will be made in due course.”

GCap also confirmed that it received a letter on Friday from Ofcom informing it that it is pursuing its investigation into alleged breaches of the broadcasting code in connection with an on-air competition.

The investigation is looking at the “Secret Sound” competition run on the One Network in January and February 2007.

In today’s update, GCap said that its total revenues are forecast to increase by around 4% for the year ending 31 March 2008, with a forecast increase of 4% year on year for the quarter ending 31 March 2008.

Within this, like for like radio advertising revenues are forecast to be up 3% year on year, with a 38% increase in the online revenues.

GCap Media: 0207 663 7000 www.gcapmedia.com