SRH buys the Leitrim Observer

Scottish Radio Holdings (SRH) has bought the Leitrim Observer newspaper for £1 million.

It is understood that the group, best known in Ireland for its involvement in Today FM, is also on the lookout for other provincial newspaper acquisitions.

Founded in 1889, the Leitrim Observer has a weekly circulation of 11,000 and is owned by the Ryan family. The company generated operating profits of £65,000 on a turnover of £704,000 in 1997.

SRH's finance director Mr John Bowman told The Irish Times that the newspaper company's financial results to this year were even better. He said the 21-strong workforce would be retained. The Observer is being bought through SRH's Score Press division. Score already owns Morton Newspapers Ltd, a leading publisher of local weekly newspapers in Northern Ireland. In a statement, the Leitrim Observer's directors said Score Press chief executive Mr Charles Villiers had approached the newspaper and they had been attracted by his management style "regarding the development and investment in local weekly papers".

Scottish Radio Holdings recently increased its stake from 15 per cent to 18.6 per cent in Today FM, when the station, which began life as Radio Ireland, was re-financed. Mr Bowman said the station was now "very firmly on the up".