Pearson pulls out of bid to buy Absolute

Virgin Radio’s former chief executive John Pearson has withdrawn from a bid to buy Absolute Radio due to a difference in opinion over its price.

A report in MediaWeek says he was hearing a deal before Christmas but talks have not stalled because two parties could not agree on price. John Pearson has the backing of Peter Dubens’s Oakley Capital private equity fund.

“I can confirm that we have withdrawn from the process,” John said.

It was also reported on Friday that Bauer Media are close to completing a deal to buy the national station, which is owned by Bennett, Coleman & Co – TIML’s parent company. The Guardian reports UTV Media may also still be in the race.

Talks recommenced in December to sell the station which was bought for over £50m in 2008 but recent offers are thought to be for half of that.