Sydney Radio Licence

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Wednesday 24 May 2000

DMGT is pleased to announce that early this morning in Australia, GD Ventures, a subsidiary, was the successful bidder in the auction for a new FM licence covering Sydney, at a price of A$155 million (£61 million) to be paid in cash.

Charlie Cox, Chief Executive of DMG Radio, the radio division of DMGT said: "The licence auctioned becomes only the fifth commercial FM franchise covering Sydney and is the first mainstream licence to be issued in almost 20 years. As such, it represents a vitally important gateway into metropolitan FM radio in Australia, and the access to national revenue which such a station can provide.

"A successful Sydney FM music licence will complement and add value to the radio group's comprehensive regional commercial radio base.

"Australian commercial radio licences are not subject to U.K. styled 'promise of performance' restrictions, allowing the successful bidder the freedom to target the format/market gap of its choice. Subject to compliance with its conditions, the licence is also effectively perpetual.

Sydney is the largest radio revenue market in Australia with an annual spend of some A$170 million (£67 million)."

SGD Ventures is currently 84% owned by DMGT subsidiary DMG Radio Investments Pty Limited and 16% owned by GWR International Limited.

Inquiries to:
Peter Williams, Finance Director, DMGT: 020 7938 6631
Charlie Cox, Chief Executive, DMG Radio: 020 7938 6790