The UK has a big new multi-media player, Global Media & Entertainment, the owner of Capital, LBC and Classic FM radio stations, is buying out of home companies Primesight and Outdoor Plus. Primesight turns over about £60m with Outdoor Plus (below) roughly half its size. Global is believed to be paying £200m for the two.
Global says it will invest “significantly” in acquiring new advertising sites following the deal. Primesight brings billboards and display panels at cinemas, retail outlets and airports reaching most Britons while Outdoor Plus is strong in London.
Global CEO Stephen Miron says: “We’ve always been strong supporters of outdoor advertising and understand the power of the medium. We see an extremely complementary fit with our radio business.”
Primesight and Outdoor Plus will form new division Global Outdoor overseen by Miron. Primesight CEO Naren Patel and Outdoor Plus boss Jonathan Lewis are staying on.
Digital sites and screens have transformed out of home in the UK and elsewhere although the capital cost can be ferocious, leading to consolidation in the industry. Global will now join other giants including JC Decaux, Exterion, Clear Channel and Ocean in an increasingly competitive market. Ocean, bought by Ocelot Partners in March, is planning to float on the London Stock Exchange.
This is an updated version of an earlier story.