Tom Group takes control of OMG

Regional - The publicly listed Tom Group has agreed to pay HK$60 million (US$7.74 million) to acquire the 35% share of Outdoor Media Group from Singapore Press Holdings.

Tom Outdoor Media Holdings, a wholly-owned subsidiary of Tom Group, currently owns 65% of Outdoor Media Group, but says the company will benefit from a single owner.

In a statement to the Hong Kong Stock Exchange, Tom said upon completion of the acquisition, the group would in a better position to develop the outdoor media business in China and "execute the business strategies more smoothly."

In 2006 Tom Group sold the 35% share to SPH for US$26 million or HK$201 million. SPH was unavailable for comment at the time of writing.

Outdoor Media Group has an advertising presence in more than 60 major cities in Mainland China, including some 15 subsidiaries established in first-tier cities including Beijing, Shanghai, Shenzhen and second-and third-tier cities such as Chengdu, Kunming, Chongqing and Shenyang.