British media firm Scottish Radio Holdings has said it will raise about £12.8 million through a share placing to fund its acquisition of Dublin radio station FM 104 and pay down debt.
The firm said in a statement it would place 1.62 million shares at 790 pence per share.
The €26 million purchase Dublin station FM 104 by Scottish Radio Holdings (SRH) is still in doubt after the Competition Authority said last week that it wanted to investigate the deal further.
The decision to move to a "phase two" investigation, which could last for three months, means large payouts for FM 104's shareholders - including managing director Mr Dermot Hanrahan - have been put on hold.
The purchase price for FM 104 is €26 million but SRH is also agreeing to pay off €4 million of debt belonging to the station, which is owned by a company called Capital Radio Productions Ltd.
With the approval of the Tánaiste and Minister for Enterprise, Trade and Employment, Ms Harney also required for media mergers, the deal may not be completed for some months.
The Competition Authority will now seek further information from the parties. The authority wants to assess whether competition in the Dublin radio market might be lessened by the merger, particularly from an advertiser's perspective.
Investec is acting as broker to the share placing announced by SRH today.
Scottish Radio announced last week it had swung to a full-year profit from a loss, citing a rebound in national advertising and continued strength in local ad spending.