MEDIA group Emap yesterday continued its sell-off spree, as it pulled the wraps off a joint venture with broadcaster Channel 4.
The group, which last week offloaded its Irish radio assets, said it would sell 50 per cent of its music TV division, Box Television, for £28 million as part of the agreement. Proceeds from the deal will be used to cut borrowings.
Emap - owner of
the Forth and Clyde radio stations - bought the business for £6m in 1996. It comprises seven digital music channels including Kiss, Smash Hits, and Kerrang!
Channel 4 has been busy developing its own cross-platform music strategy through the 4Music brand.
Andy Duncan, Channel 4's chief executive, said: "Music is an important part of Channel 4's strategy for future growth and we intend to further strengthen our cross-platform presence with the launch of three 4-branded radio stations from next year."
Paul Keenan, Emap's chief executive of consumer media, added: "Emap and Channel 4 are like-minded partners and together we make a formidable force in an otherwise fragmenting and challenging market."
Analysts at ABN Amro said Emap's video format had been very profitable but treading water in terms of growth in recent years.
Last week, Emap, which also publishes magazines such as Grazia, Heat and FHM, sold its Irish stations to Dublin-based Communicorp Group for around £135m in an all-cash deal. It said it was shifting its focus to its higher-growing business-to-business and digital units.
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