Media Prima, one of Malaysia’s leading fully-integrated media investment groups today entered into a conditional share purchase agreement to acquire Copyright Laureate Sdn Bhd (“CLSB”) which operates Ultra FM and Pi Mai FM radio broadcasting stations for a total cash consideration of RM20 million.
The purchase would see Media Prima owning 100% stake in the two radio stations. Media Prima currently operates three radio stations, namely Hot FM, Fly Fm and One FM. The newly acquired radio stations would enable the group to further expand its offerings to a wider segment of listeners, media buyers and advertisers hence further strengthening its position as the leading integrated media investment group in Malaysia.
Media Prima Group managing director, Dato’ Sri Amrin Awaluddin said the move will “allow the Group to realise new opportunities and grow its radio advertising share to complement its leadership position in television, content production, print, out-of-home and online digital platforms.
“The acquisition provides tremendous potential in terms of revenue growth for the group and is in line with the company’s business strategy of procuring strategic media assets to add to its existing portfolio,” he added.
The newly acquired radio stations are expected to derive “potential synergistic benefits” from collaborative sales and marketing strategies between the radio and other media platforms within the group as well and have significant cost savings through consolidation of back office and operational costs.