Global potential for Chrysalis Radio.

Key player created in radio sector as Global acquires Chrysalis for #170m

by Martin Talbot & Ben Cardew

The sale of Chrysalis Radio last week created both a key player in the radio sector and a new music-focused independent group.

Chrysalis Group announced on Monday its plan to sell Chrysalis Radio for #170m to Global Radio, a new group with apparently huge ambitions. Speculation suggested Global Radio, which immediately announced the appointment of former ITV chief executive Charles Allen as chairman, may be interested in acquiring Talksport owner UTV and Virgin Radio, whose parent company SMG is to float.

Global Radio is led by Ashley Tabor, the son of Michael Tabor, and the chief executive of Global Talent Group, the music publishing, artist management and rights business. It is backed by Irish investors John Magnier, JP McManus and Dermot Desmond.

Although Global declined to comment, Chrysalis Group chief executive Richard Huntingford says the deal is a positive outcome of the group's strategic review.

"It is good for the shareholders - we got #170m for the business, a profit of #95m - but equally for all the people within the Chrysalis Radio team. For all of the stations and brands it is a very good result. They are going to become part of a new radio group that has big ambitions about what it wants to achieve," he says.