Radio advertising sales organisation the Radio Bureau says it will likely become a joint venture between New Zealand's two dominant radio broadcasters from early next year.
Current owner The Radio Network has announced a proposal that would see CanWest New Zealand take a stake in the Radio Bureau, a central sales
point for radio advertising for most of the country's commercial radio broadcasters.
Radio Network chief executive John McElhinney said the move was a big step forward for the industry.
"This ensures that buying radio advertising is kept simple, whether it be for one of the two main commercial networks or for independents," McElhinney said.
CanWest NZ chief executive Brent Impey said the acquisition of a stake in the Radio Bureau was "tangible recognition of the compelling logic in having an impartial single-source solution provider for radio advertising serving the interests of advertising agencies and their clients".
The Radio Network's 88 stations include Classic Hits, Newstalk ZB, ZM, Radio Sport, and Hauraki.
CanWest NZ owns and operates The Edge, The Rock, MoreFM, The Breeze, Solid Gold, Radio Pacific, Channel Z and LocalWorks radio stations and networks.
Radio Bureau general manager Gill Stewart said the proposed joint venture would "continue to represent independent stations and the new ownership structure provided benefits to them as well".
Stewart said the Radio Bureau would retain its generic marketing role for the industry.
The Radio Bureau employs 33 staff around New Zealand, none of whom would be affected by the change of ownership.
- NZPA
