GMG Quashes Imminent Deal Rumours

Guardian Media Group (GMG) will not consider selling its radio stations for less than £150 million, making it unlikely that a deal will be made anytime soon.

Last month, GMG was reported to have rejected a £115 million offer for its radio division from Chrysalis. GMG is thought to value its stations at between £150-£175 million, according to a report in the Times (see Chrysalis Unperturbed By GMG Takeover Rebuttal).

GMG are predicted to receive further bids for its radio assets, which include Jazz FM and a number of regional stations.

Chrysalis recently announced an improvement in trading within the radio advertising market in the first two months of 2005. In its latest annual results, GMG revealed that GMG Radio had outperformed the radio industry as a whole.

Guardian Media Group: 020 7713 4452 www.gmgplc.co.uk/