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The statement went on to say, “But since the other shareholders in NWFM were of the opinion that the AME deal depended on approval from the other shareholders in order to get regulatory approval and such approval was not forthcoming, we consulted AME and agreed to accept the TMG deal on the condition that it would be on the same terms and that the advances paid by AME would be repaid by the proceedings from the sale to TMG.” Just as the source told the TMG deal fell through in December 2015.
Michael Bratt investigated the matter to find out what is going on behind the scenes of North West province’s only commercial station.
It began with a tip-off from a source who preferred to stay anonymous.
They told a foreign company, 21st Venture Capital, owed AME R3.6 million for an ownership deal that was done, but which subsequently fell through. AME paid 21st Venture Capital the money, but other shareholders at North West FM subsequently blocked the deal, instead preferring that 21st Venture Capital sold its stake to Times Media Group (TMG).
The source said 21st Venture Capital was looking to sell its stake in North West FM and AME responded as an interested party. The source said the deal with TMG was worth more than the one originally made with AME.
Norwegian company, 21st Venture Capital, has been trying to sell its 20% stake in South African radio station North West FM.