Canwest sells UK radio stations
By Adnews Staff
Winnipeg-based Canwest has sold its three FM radio stations in the United Kingdom. The stations were operated by the subsidiary Canwest MediaWorks UK. The company's Original 106FM stations in Bristol, England and Aberdeen, Scotland have been sold to a group of private investors that includes members of the stations' management group. A third station in the Solent region of England has been sold to Complete Communications. All three will continue to use the Original FM brand name through licence agreements with Canwest. "Our strategy is to focus on our core assets, improve our balance sheet and invest in higher-growth products and areas of the media business,'' said Canwest president and CEO Leonard Asper. "When reviewing our properties, we determined that the prospects for FM radio in the UK were not consistent with the company's long-term growth strategy." According to the company, the sale of the three properties will result in an increase of operating profit of approximately $7 million annually.