KUALA LUMPUR: Media Prima Bhd
has proposed to acquire the entire stake in a radio broadcasting company for a total cash consideration of RM20mil to expand its portfolio of media assets.
The integrated media group said on Thursday that its unit Synchrosound Studio Sdn Bhd had signed a conditional share purchase agreement to buy 500,000 ordinary shares in Copyright Laureate Sdn Bhd (CLSB), representing a 100% in the company, from Mohamad Fazhly Johari, Hamyzar Toha and Lau Chuan Chiat.
CLSB owns two radio broadcasting stations, namely Ultra FM and Pi Mai FM.
“The proposed acquisition is in line with Media Prima’s business strategy of acquiring more media assets to add to its existing portfolio,” the company said.
“The proposed acquisition will assist Media Prima to leverage on its position as the leading integrated media group that provides solutions to customers by combining its TV, content creation, print, radio, outdoor and online digital platforms,” it added.
According to Media Prima, the completion of the proposed acquisition, however, would be subject to the fulfilment of the conditions precedent detailed in the share purchase agreement.
Media Prima currently operates three radio stations, namely Hot.fm, Fly.fm and One.fm.
Additional radio stations would enable the group to expand its offering to the general consumers, media buyers and advertisers, leveraging on its position as an integrated media investment group, it said.
“As part of the Media Prima group, these radio stations are expected to derive potential synergistic benefits from collaborative sales and marketing strategies between the radio platform and other media platforms within the group as well as enjoy significant cost savings through consolidation of back office and operational costs,” it explained.
