RG Capital Radio and DMG Radio Australia have announced an agreement “to enter into a sale and purchase agreement” for various stations.

RG Capital has agreed to sell to DMG Radio Sea FM Central Coast. DMG recently acquired the new Central Coast licence at the ABA’s auction.

DMG Radio has agreed to sell to RG Capital 3BO FM and Star FM Bendigo.

Following the sale by RG Capital of Sea FM Central Coast, DMG Radio will then sell to RG Capital Radio 50% of radio licence 104.5 FM Central Coast for approximately $6.75 million.

The agreements will complete and take effect on or around December 31st, 2002 and will be subject to required approvals and due diligence.

Chief Executive of DMG Radio Paul Thompson said: “The Bendigo stations were among the first we acquired in the establishment of DMG in Australian radio in 1996. The station staff have done a great job over those years. The Central Coast now represents a new challenge for DMG Radio in one of Australia’s great growth areas.”

RG Capital Radio’s Executive Chairman Tim Hughes said: “We look forward to welcoming 3BO and Star FM Bendigo to our network. To our staff at Sea FM Gosford we thank you for your wonderful efforts over the past few years. Our joint venture ownership of the new FM licence in Gosford will be very exciting. The new station will receive the support and resources of both our corporations”.