GWR Bids For Chiltern

GWR looks set to become the first beneficiary of the Government’s media ownership proposals, by making an offer for Chiltern Radio. The Bristol-based radio group currently holds 20 licences in the UK, the maximum allowed under existing rules. However, last week’s Green Paper proposes to extend this limit to 35 licences.

GWR has announced a paper offer for Chiltern Radio, which values the company at £21.3m. All Chiltern’s major shareholders, Capital Radio (20%), DMGT (20%) and EMA (10%), have indicated they would accept the offer. Capital also owns 18.3% of GWR.