GCap Media shares rise on Global Radio news

GCap Media shares soared this morning after the Capital Radio owner agreed to a £375 million takeover by Global Radio.

Global...Charles Allen 'excited'
Global...Charles Allen 'excited'
In a statement to the market on Monday night, privately owned Global said its offer of 225p a share for GCap had been accepted. The offer was an 86 per cent premium to GCap's closing price before news of the approach came
out.

Shares in GCap rose from 21p to 218p in early morning trading.

The merged commercial radio group will command almost 50 per cent of UK radio advertising.

The deal was reached one hour after a 5pm deadline set by the Takeover Panel had been extended.

In a statement, Charles Allen, the chairman of Global, which owns Heart and Galaxy, said: "We are excited at the opportunity to build on GCap's position as the leading commercial radio player and are committed to providing the best platform for both our advertisers and our listeners."

Ashley Tabor, chief executive of Global, is expected to lead the merged group.

GCap chairman Richard Eyre is expected to leave, along with GCap chief executive Fru Hazlitt, who is expected to collect a £1 million payout, after taking up the role just three months ago.

Become a member of Campaign from just £45 a quarter

Get the very latest news and insight from Campaign with unrestricted access to campaignlive.co.uk ,plus get exclusive discounts to Campaign events

Become a member

Looking for a new job?

Get the latest creative jobs in advertising, media, marketing and digital delivered directly to your inbox each day.

Create an Alert Now

Partner content

Share

1 Why creative people have lost their way

What better way to kick off Campaign's relaunch than with another think piece on the current failings of our industry, written by an embittered, pretentious creative who misses "the way things used to be"...

Share

1 Job description: Digital marketing executive

Digital marketing executives oversee the online marketing strategy for their organisation. They plan and execute digital (including email) marketing campaigns and design, maintain and supply content for the organisation's website(s).