Global Radio, the owner of the Heart 106.2 station, insisted yesterday that consolidation was not crucial to its success, despite it having made an approach for GCap.

The group, chaired by Charles Allen, the former chief executive of ITV, is closely observing reaction to Fru Hazlitt's strategy at GCap, which is closing several digital radio stations in an effort to achieve significant cost savings.

Mr Allen and Ashley Tabor, the chief executive of Global, have not contacted GCap shareholders to gauge their opinion of Ms Hazlitt's plans, but it is understood that they will meet key institutional investors this week before deciding whether to make an offer for GCap.

One shareholder said yesterday that GCap had made “some interesting announcements” and added that the market had made its judgment with the drop in the share price.

Mr Tabor rejected market talk that Global needed a deal after losing out to Bauer in the battle for Emap's radio assets. “If it doesn't happen, it doesn't happen. We're in no rush,” Mr Tabor said.

Global Radio has been in contact with shareholders in GCap in an attempt to clinch a takeover of Britain's largest commercial radio group after its private approach to GCap's board was rejected.

Global bought the rival Chrysalis for £170 million after the Galaxy and LBC owner announced a strategic review amid a fall in advertising revenue in the sector.

Times Recommends

• Minister in talks with Saudis to protect creditors
• Premier Inn hits back in £29-a-room row
• Bankers hit back at 'populist' bonus supertax