Bennett Coleman to sell Absolute Radio in UK to Bauer Media
Bauer Media UK, a division of the Bauer Media Group, is buying Absolute Radio (erstwhile Virgin Radio) from Bennett, Coleman & Co. Ltd (BCCL), the privately held parent of The Times of India group, as per a company statement. This would mark an exit for the Indian media giant from what was seen as an expensive overseas expansion move.
Although Bauer Media did not disclose the deal value, various media reports pegged the deal value around £22 million. This would mean the firm has managed to exit the firm at about half of what it spent to buy the firm.
In mid-2008 the Indian media group had paid around £53.2 million (Rs 445 crore or $100 million back then) to acquire Virgin Radio. The firm was renamed as Absolute Radio. It has struggled to generate financial value for BCCL which has been reportedly looking to exit for over two years now.
BCCL, which has a string of media publications in India such as The Times of India, The Economic Times and Femina, also runs multi-media properties such as lifestyle channel Zoom, business channel ET Now, English movie channel Movies Now besides its own radio channels under the Radio Mirchi brand.
"Absolute Radio and its sister brands are loved by millions of UK consumers and by advertisers. This acquisition will be an opportunity to learn and share across both businesses," said Paul Keenan, CEO, Bauer Media UK.
Bauer Media Group is one of the leading publishing groups in Europe. The Group has over 300 magazines in 15 countries, as well as online, TV and radio stations. Bauer Media joined the Bauer Media Group in January 2008, following the acquisition of Emap plc's consumer and specialist magazines, radio, TV, online and digital businesses. Collectively, the Group employs over 6,400 people.
Bauer Media is a multi-platform UK-based media Group consisting of many companies collected around two main divisions--Magazines and Radio.
Earlier, John Pearson, a former chief executive of Virgin Radio, had pulled out of talks to buy Absolute Radio in a management buy-in deal supported by private equity firm Oakley Capital, as per Mediaweek.
-- Copyright 2013 VCCircle.com. All rights reserved. This content/article is provided by Mosaic Media Ventures Private Limited and not by Reuters. All rights, including copyright, in this content/article provided by VCCircle.com are owned or controlled by Mosaic Media Ventures Private Limited. The content may not be copied, broadcast, downloaded and stored (in any medium), transmitted, adapted or changed in any way whatsoever without the prior written permission of Mosaic Media Ventures Private Limited.
- Tweet this
- Share this
- Digg this
- Govt considers ban on e-cigarettes, sale of single smokes
- India's fiscal deficit in H1 almost 83 pct of full-year target
- Islamic State fighters kill 220 Iraqis from tribe that opposed them
- Sensex surges 500 points on BOJ easing, L&T gains
- PRECIOUS-Gold, silver tumble to four-year lows as dollar rallies
Shares Hit Record
The BSE Sensex and Nifty surged to record highs for a second consecutive session on Friday after Bank of Japan's surprise expansion of its massive stimulus programme raised hopes for additional foreign inflows, boosting blue-chips such as Larsen & Toubro. Full Article
China's shadow banking sector growing rapidly, third largest in world - FSB. Full Article