Sharewatch: Capital Rises On GMG Take-over Speculation

Capital Radio was seen in focus yesterday, up 9.66% amid speculation that the Guardian Media Group may be preparing a take-over bid for the company (see GMG Looks To Expand Radio Interests With Capital Bid). GMG is thought to be keen to expand its radio operations following its accusation of Jazz FM last year.

Elsewhere, Cordiant was in the spotlight once again, rising 21.74% on reports that it is set to announce £50 million of disposals.

Broader market sentiment was boosted yesterday by the continued strength of the Euro, which has recorded highs against the dollar and the yen. Bullish sentiment was further lifted by positive economic indicators from the US, which revealed an uptick in consumer confidence long seen as the lynchpin of economic stability.

All eyes will be on Emap, which releases its year-end results today.

The closing prices of media company shares on Tuesday were: