GCap halts regional Xfm sell-off

GCap Media is halting the previously announced sale of two of its regional Xfm stations - Xfm Scotland and Xfm Manchester - but is proceeding with the sale of Xfm South Wales.

GCap staff were told yesterday that the company has decided to retain two out of its three regional Xfm stations.

A GCap spokesman said: "It is a decision the GCap board has come to in light of the fact we are to become part of a bigger company [Global Radio], and these stations will fit well within a larger portfolio."

In February, the company announced plans to dispose of the three Xfm regional stations, as part of a major strategy update by chief executive Fru Hazlitt.

Xfm South Wales launched last November and it is unclear yet whether the original parties interested in buying all three stations will still bid for the South Wales station. Those interested were said to include Adam Findlay, the son of Richard Findlay, the chairman of Virgin Radio owner SMG, and entrepreneurs John Quinn and Gordon Beattie.