Two groups made presentations in Limerick yesterday in a bid to win a 10-year licence for a youth-targeted radio station for the southwest region.
The new service aims to provide a mix of music and speech for the 15-34 age group in counties Limerick, Clare and Kerry as well as parts of Tipperary and Laois.
Two established radio stations - Red FM from Cork and Spin in Dublin - were the main players in the groups shortlisted for yesterday's hearing in Limerick held by the Broadcasting Commission of Ireland (BCI).
Presenting its case to the BCI, Red FM South West said it was proposing an investment of €4 million in the new franchise and would base its main studio in Limerick city. It would also have three other broadcast facilities in Tralee, Ennis and Nenagh.
The consortium, chaired by Thomas Crosbie Holdings managing director Anthony Dinan, also includes Dermot Hanrahan, a former board member of Dublin station FM 104, and Billy Ryan, the founder of the Limerick Post newspaper.
The BCI heard that Red FM in Cork had a proven track record in a market with a significant rural/urban split that was very different to the Dublin radio market.
The consortium leading the application for the new licence on behalf of the other applicant - Spin South West - was chaired by Liam O'Shea, the managing director of successful independent radio station Clare FM.
Other shareholders in the Spin South West consortium include Setanta Radio, Communicorp and Keith Wood, the former Irish rugby captain.
The BCI board heard that the group was proposing an investment of €3.8 million in the new radio service with €250,000 set aside for a launch and marketing campaign. With a projected staff of 43, the group said it aimed to attract revenue of €1.2 million in the first year, growing to €2.1 million by year three.
Spin South West is proposing to locate its studios at the Raheen roundabout in Limerick.
A decision on which consortium will be awarded the new radio licence is expected to be announced by the BCI on September 4th next.
:quality(70)/cloudfront-eu-central-1.images.arcpublishing.com/irishtimes/VR3765MFOBH2NMV2QNICYDF67M.png)