Radio City has
bagged the license for seven new cities in the second phase of FM radio expansion. These cities include Hyderabad, Chennai, Ahmedabad, Jaipur, Nagpur, Pune and Surat.
With this development, Radio City will now be available in 11 cities across the country. Radio City already has FM stations in Mumbai, Bangalore, New Delhi and Lucknow.
Radio City will have to shell out Rs 35 crore for the FM license for these seven cities, and the bidding amount varies from one city to another. For instance the bidding amount for Chennai is highest at Rs 8 crore. This is followed by Hyderabad at Rs 7 crore, and Ahmedabad at Rs 6.5 crore. For Pune, the bid amount is Rs 6 crore. Similarly for smaller cities such as Jaipur, Nagpur, and Surat, the bid amount is Rs 3 crore, Rs 2.5 crore, and Rs 2 crore, respectively.
As per an official communiqué, Apurva Purohit, CEO, Radio City, said, "This will help us further consolidate our position as the leaders in the radio space in India. Our bids were the most rational, and have managed the highest hit rate at the lowest average cost. This presents a very robust, cost-effective and very well-balanced business structure for Radio City in the 2nd Phase."
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