Hungary's national body in charge of awarding frequencies ORTT on Wednesday signed seven-year radio broadcast concession agreements with Advenio and a consortium led by Est Media Group (EMG).
ORTT said a week earlier that it awarded concessions to operate the two country-wide commercial radio frequencies to Advenio and the Est Media Group-led FM1 consortium. The FM1 consortium was awarded 94 points in the evaluation while Advenio took 98 points. Incumbent broadcasters Sláger Rádio and Danubius Rádio received 69 points and 75 points, respectively.
ORTT chairman László Majtényi announced his resignation shortly after the decision. “I don't think the case is closed; I think this is just the start of a scandal,” he told MTI.
Sláger Rádio and Danubius Rádio have appealed the ORTT decision rejecting their bids in court.
Advenio will pay an annual inflation-adjusted fee of HUF 700 million for the frequency until the middle of 2011, after which it will pay an annual HUF 200 million plus 55% of its revenue, the contract signed on Wednesday shows. It will call its radio station Class Radio.
FM1 will pay HUF 355 million until the middle of 2011, after which it will pay an annual HUF 200 million plus 50% of its revenue. FM1 will call its radio station Neo FM. (MTI-Econews)