RMF FM to expand in ongoing bid for media dominance

Krakow-based Holding FM has entered the battle for dominance on the domestic media market. The flagship radio station of the media company, RMF FM, is the country's largest and wealthiest. The company has also received permission from the National Radio and Television Council (KRRiTV) to broadcast a TV channel, via satellite, from March 2002. The license describes the new channel as being on the theme of music and information. However, RMF is also seeking possible investments into stations which have been granted a license for terrestrial broadcasts. "The possibility of investment in TV4, a channel allied with Polsat, is currently being considered," said Rafal Gebicki, investment director of Westdeutsche Landesbank, which co-operates with RMF. The media company has worked out two alternatives for obtaining the necessary funds for the operation. The strategy planned for 2003 envisages the possibility of a bond issue or entrance of a financial investor into the group. "If this scenario fails to materialize, we have prepared a plan to publicly list Broker FM. However this will not take place earlier than in 2004," Gebicki said. Broker FM, a key member the of the capital group which sells advertising time and is an exclusive commercial representative of RMF FM, has initial capital of zl. 100,000, divided into 100,000 shares. RMF FM is currently undergoing restructuring in order to simplify the ownership structure of the group. (Puls Biznesu, p. 6) A.K.