Broadcaster presses ahead with Virgin Radio disposal
UK broadcaster SMG said today it had not yet ruled out a stock market listing for Virgin Radio, despite “significant interest” from potential buyers.
SMG wants to offload the radio station so it can concentrate on its television broadcasting and production businesses, including STV in Scotland.
The group had eyed an autumn listing for the business, but admitted today the timetable had been affected by the current turmoil in financial markets.
It said a flotation remained an option, but also noted that there had been significant interest from a number of potential buyers.
SMG’s new management team said it was on track to deliver its turnaround plan, which has already seen the sale of billboard business Primesight for £62m (€88m).
The group’s difficulties, following an admission that it had underperformed the media sector, were shown in interim results today. Pre-tax profits were £1m (€1.4m) in the first half of 2007, down from £8m (€11.4m) a year earlier.
