Milestone Group today announces the proposed disposal of its three non-wholly owned radio assets and the appointment of a new Non-Executive Chairman.
The Company proposes to dispose of its 54 per cent. beneficial interest in Kestrel FM and assignment of related shareholder loans; its 55 per cent. beneficial interest in Kick FM and assignment of related shareholder loans; and its 52 per cent. beneficial interest in Rugby FM.
Milestone are expecting approximately ?2 million for the shares in the three stations, but is subject to the approval of Shareholders in the Company at an Extraordinary General Meeting to be held on 17 February 2006.
Also announced today, consultant John Sanderson has been appointed to the board as Non-Executive Chairman with immediate effect. John replaces former Milestone Chairman, Julian Blackwell, who resigns from the company with immediate effect in order to concentrate on his other business interests.
Commenting on the appointment and proposed disposals, Milestone Chief Executive, Andy Craig, said:
‘Kick FM, Kestrel FM and Rugby FM are all radio stations which Milestone has operated for some time and, whilst successful and popular amongst their audiences, their continued operation by the Company has taken up considerable management resource. This proposed reorganisation will enable the Company to focus on exploiting the more significant growth potential identified within its
wholly owned local media assets.
‘Your Board, under its new Chairman, will be discussing with its shareholders and advisers the ongoing strategy of the Company, in line with its duty to explore all opportunities to maximise shareholder value. The Board is very pleased to welcome to the Company someone of John Sanderson’s vast experience in the development of entrepreneurial media businesses and look forward to working under his guidance.
‘On behalf of the Board, I would like to thank our departing Chairman, Julian Blackwell, for his work and for his ongoing support for the Company.’
John Sanderson added:
‘I am excited about joining Milestone as a time when local publishing, local radio and local television are all converging through new digital applications.
‘I am looking forward to working with management to explore the most appropriate opportunities to ensure Shareholders benefit from the popular local brands which Milestone has established. I look forward to meeting Shareholders at the Extraordinary General Meeting and assure you of my commitment to your interests as your new Chairman.’