Global to sell stations including BRMB

Global Radio is to sell five stations including Birmingham's BRMB in order to permit its merger with GCap Media to proceed.

The Office of Fair Trading said it would not refer the deal, which was announced in March, to the Competition Commission provided "certain remedies" were met to avoid lessening of competition issues arising in the Midlands.

Global has confirmed that it will sell BRMB, Beacon Radio, Mercia FM and Wyvern to resolve competition issues. It will also change the way in which Heart 106 in the East Midlands operates to allay competition concerns in that region; the station will either be sold or operated as a franchise, marking the first occasion where the Office of Fair Trading has accepted franchising as a remedy in the sector.

"We are pleased that the OFT has made the final decision in this case and that there will be no referral to the CC," said GCap CEO Ashley Tabor. "Global Radio will now be able to lead the industry to the consolidation it needs. We will be able to offer real value and quality to advertisers and listeners by operating the Heart and Capital brands alongside one another and today’s decision represents the beginning of a very exciting radio company where we can now set about the task of integrating the 2 businesses, creating Global Radio in its new form."