SMG to Float Virgin Radio, Halts Primesight Sale

SMG, the Scottish media group, said on Thursday it would list Virgin Radio by way of an Initial Public Offering (IPO) and would focus on TV as its core business as part of its strategic turnaround.

The announcement was the first under the group's new management, which was introduced in February after a request from activist investor Hanover Investors Management which holds a 12.6% stake in the group.

SMG also said it had halted the sale of its outdoor advertising business, Primesight, as it judged the price to be too low.

The group posted full-year adjusted pretax profit for the year of 10 million pounds ($19.77 million), down from 20 million pounds in 2005.