GCap buys into local business site WeLoveLocal.com

by Jennifer Whitehead, Brand Republic 17-Mar-08, 09:50

LONDON - GCap Media has bought a majority stake in fledgling business listings and reviews website WeLoveLocal.com for a total of £600,000.

The website's previous owners, Duncan and Max Jennings, have sold a majority stake for £450,000 in cash. GCap will make further payments of £150,000 over the coming weeks.

WeLoveLocal.com has been set up to help people find businesses in their area based on reviews by other locals, and by sharing their own recommendations.

GCap plans to combine its online audience with its own network of local radio stations, integrating listings into its Capital 95.8 and One Network sites.

Fru Hazlitt, chief executive of GCap, said: "WeLoveLocal.com is a business in its infancy but is already showing excellent audience growth. We will be able to accelerate this growth in a way that reinforces our connection to our local communities."

The acquisition comes as GCap continues talks with suitor Global Radio, which has offered £370m to buy GCap. GCap has until March 26 to make a decision over whether it will accept Global Radio's offer -- if it rejects it, Global Radio will be barred from making another bid for six months.