The local commercial licence for the Swansea area has been awarded to Swansea Bay Radio, backed by investors behind other local stations including Radio Pembrokeshire and Bridge FM.
They fought off competition from Diamond FM, backed by ex-Emap boss Tim Schoonmaker and SA-FM (Swansea Local Radio) backed by Laser Broadcasting and local broadcaster Binda Singh.
Swansea Bay Radio will provide a local speech and music station for the Swansea area, with 24-hour news, information and comment aimed primarily at the 35+ age group, with a predominantly gold and easy listening mix of music.
The licence is for a service to cover the city of Swansea and the surrounding area, which has an adult population (aged 15+) of around 300,000. However, the exact coverage will be determined by the location of the transmission site and other technical characteristics.
Ofcom expects Swansea Bay Radio to begin broadcasting at the earliest opportunity and no later than two years from this award date.
Ofcom will publish a statement setting out the key determining factors for the award of this licence shortly.
The licence will be issued for a twelve year period.