Global Radio has finally agreed the terms to acquire GCap Media at a price of 225 pence per share, after four months of negotiations.

Charles Allen, chairman of Global Radio said: “We are delighted that the Board of GCap has unanimously agreed to recommend our acquisition of GCap. We believe that this is a very strong business with brands and assets that are highly complementary to those of the Global Radio Group.  We are excited by the opportunity to build on GCap’s position as the leading commercial radio player and are committed to providing the best platform for both our advertisers and listeners.”

GCap owns 47 regional stations, including XFM, Trent FM and Leicester Sound. In February, it announced a cost-cutting exercise that is understood to have led to several redundancies.