Virgin Radio owner SMG offered £193m lifeline

Virgin Radio owner SMG has secured borrowing facilities to keep it going until next autumn, it emerged today.

Scottish Media Group creditors, led by Royal Bank of Scotland, have agreed to provide new banking facilities until September 2008.

The £193 million facility comes just over a month after Rob Woodward was appointed chief executive, following a vast clear-out of the SMG boardroom.

SMG's full-year results on Thursday are expected to include more detail from Woodward on the company's prospects.

Pre-tax profits are understood to have halved year-on-year, from £20m to £10m.