Emap sells Irish radio stations to Communicorp Group for £135m

LONDON - Emap has sold its Republic of Ireland stations to Communicorp Group, owners of the country's Newstalk 106FM, for €200m (£135m).

Emap put FM104, Highland Radio and Today FM on the market earlier this year, following a review, with interest coming from TalkSport-owner UTV and the Irish Times as well as private equity bidders Doughty Hanson, which owns Irish TV channel TV3, former radio investors Vienna Investors and Vitruvian Partners, whose bid involved former Scottish Radio Holdings (SRH) chief executive and SMG non-executive chairman, Richard Findlay, and his son Adam.

The sale is expected to be free of tax to Emap and it is intended that the sale proceeds will be used to reduce the group's borrowings.

The sale is on a debt free, cash free basis but its completion depends on the clearance of certain regulatory conditions.

Alun Cathcart, executive chairman of Emap, pictured, said the Republic of Ireland stations were "great businesses, performing strongly with committed management and talent" but said the sale demonstrated the company's "absolute commitment to accelerating our strategic aim of generating value for our shareholders".

Media Week 16-Jul-07, 12:00