Financial news portal Moneyweb will switch radio allegiances from 1 July when its business show will be broadcast on Radio Today rather than Classic FM, of which its owns 20%.
Moneyweb chief executive Edwin Jay says the move is in line with Moneyweb`s stated strategy of being a content provider, and it will continue to support its Internet site and provide financial news to other media, such as eTV.
"We have to focus on what we do best, and that is journalism. We are content providers and so exclusivity does not necessarily work best for us. We will not be buying a stake in Radio Today," Jay told ITWeb.
The decision to switch the radio show, which is usually hosted by Moneyweb founder and editor-in-chief Alec Hogg, will mean its 20% stake is up for review after the four-year relationship.
"Some say the stake is worth between R40 million and R60 million. However, only when buyers say how much they are prepared to pay, will we see the true worth," Jay says.
He says he has received some interest from black empowerment firms. However, they want a 51% stake in Classic FM.
According to Moneyweb`s Stock Exchange News Service announcement today, the radio show will be accessible in all of sub-Saharan Africa for the first time through WorldSpace satellite radio.
"The move is linked to Moneyweb`s strategy of expanding its involvement in the broadcast arena and positioning itself in satellite radio, the fastest growing part of the media sector globally," the statement says.
Listeners in Cape Town (FMR 101.5FM) and Durban (Highway 101.3FM) are unaffected by the move. Johannesburg listeners and those accessing the programme on DSTV will be given an extra hour of programming by switching channels.
Jay says the impact of the move on the company`s profits for the year to end March 2005 will depend on the response of sponsors of the business show, although he says there have been indications of support from the sponsors.
For the year ended 31 March Moneyweb posted a rise of 58% in headline earnings per share to 3.2c, and cash generated from operations surged by 218% to R3.73 million.
Jay says Moneyweb`s interest in the Internet as a medium has not diminished. Its main site averages about 95 000 unique visitors per month and its subsidiary site Mineweb.co.za has between 150 000 to 170 000 unique visitors per month.
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