Tuesday, December 6, 2016
GTN buys Radiate Media for $15M
The US radio advertising market is the largest in the world, with annual radio advertising spend of US$17 billion per annum.
In order to execute the US expansion strategy, GTN is undertaking an equity raising to raise $60.2 million via a fully underwritten accelerated non-renounceable pro rata entitlement offer.
GTN is a traffic provider for radio and television stations in Australia, England, Canada, and Brazil. It has long looked for ways to bring its services to American broadcasters (and advertisers).
Radiate Media, which has been around since 1998, has over 2,000 radio and television stations in the U.S. using its services.
GTN is not planning any immediate changes to the current US corporate structure of the now-former Radiate Media. Chris Rothey remains as CEO, Ivan Shulman remains as President, Troy Giles remains as CFO, and Dave Waskiewicz remains as Senior Vice President of Broadcast Operations. Radiate Media President Shulman previously held executive roles within GTN.
No Radiate staff layoffs are expected. In fact, thanks to the upcoming new arrangement with CBS Radio, USTN is expected to increase its size, picking up some of the soon-to-be-former Total Traffic employees.
Just as Radiate Media was, USTN will be headquartered in Malvern, PA, with sales offices in four major markets.
Posted 4:17:00 AM