The Boards of Capital Radio and GWR welcome the decision by the Office of Fair Trading to clear the merger subject to the merged group agreeing to address its local radio advertising competition concerns in the East Midlands.
Capital Radio and GWR are fully committed to proceeding with the merger and have offered to divest Century 106FM to address these concerns. Subject to finalisation of the details of the undertakings, Capital Radio and GWR will issue a further announcement in due course.
The broadcasting regulator Ofcom has also today announced that the merger will be in compliance with the statutory rules on media ownership and has also stated that minor changes, bringing two of the merged group’s local analogue licences up to date to reflect the service already being provided on air, will be effected as a consequence of the Merger.
Ralph Bernard, Executive Chairman of GWR, said:
?When we announced our merger we set out the benefits for listeners, advertisers and shareholders. This is a merger of two complementary businesses that will strengthen the UK radio industry and we are very pleased that OFT and Ofcom are satisfied that it can proceed.”
David Mansfield, Chief Executive of Capital Radio, said: “We are delighted with this decision, which follows a constructive dialogue with the OFT and OFCOM. This is good for listeners and for the radio industry. We look forward to working with our new colleagues at GWR to effectively integrate our businesses and create a commercial radio champion for the digital age.”