The Australian Stock Exchange has today (21 June) publicly listed WorldAudio Limited (Stock Code: WAG) which intends to build a “commercial local radio network” with the proceeds of its float. It already has one station on air in western Sydney.

Over $6 million was subscribed to the successful float at a price of 20 cents per share. WorldAudio Limited is now able to move ahead with its plans to establish 32 local commercial radio stations around Australia over the next 28 months.

The WorldAudio Group listed through International Media Management (Holdings) Limited, which has changed its name to WorldAudio Limited. (WAG)

WorldAudio’s first operational station, Radio 2 (1611 AM ‘The New Voice of Sydney’s West’) has already been broadcasting to a catchment population of around 2.5 million Sydney residents since October last year.

“We are absolutely thrilled that we are now trading as a listed company on the ASX”, WorldAudio Limited Managing Director Andrew Peter Thompson told AMT.

“This is really an innovative and exciting new development for commercial radio in Australia. This marks an unprecedented step in Australian media, and we are proud to be making radio broadcasting history which allows investors the opportunity to invest in a local radio network. It also demonstrates our faith in the future of radio, and in the strategic business model we have developed,” said Thompson

Thompson has extensive experience setting up commercial radio ventures in Europe. The establishment costs of the network are dramatically less than those of a traditional network because the off-band licences do not cost anywhere near the price of a commercial licence on the main broadcast bands.

World Audio has faced strong opposition from existing commercial radio operators who are doubtful about the business plan and against further opposition in a tight sales environment.