Radio firm GCap Media has withdrawn from its plans to sell nine analogue stations in the South West and North Wales, claiming that the approaches it has received do not meet the best interests of investors.
The proposed sales, made as part of the broadcaster’s strategy review in November 2005, were designed to leave the broadcaster “in the seven key ITV areas where we have excellent coverage, according to chief executive, Ralph Bernard (see
GCap Media Sells Stations And Announces Rebrand Plans).
However, GCap this morning said that it would not be in the best interests of shareholders to sell the stations “at the level of the offers received.”
The undervalued offers have resulted in GCap’s sale process being formally terminated, with the stations, including Marcher Group, now remaining part of the company’s wider portfolio. The broadcaster will now concentrate on growing the stations under its existing structure.
Special dividends that were destined for investors following the proposed sales will now not be made, GCap said in a statement to the City this morning.
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