HT Media Ltd and Next Mediaworks Ltd on Wednesday announced a proposal to\u00a0consolidate their radio businesses, for which the companies have executed a binding term sheet. HT Media informed the stock exchanges that the proposed merger deal has got 'in principle' approval from the Board of Directors on July 18. The proposal is now\u00a0subject to the approval of the final scheme by the Board of Directors and Shareholders of both companies, along with regulatory nod. Upon the full implementation of the proposed transaction, the company and its promoters shall acquire control of NMW (Next Mediaworks Ltd), HT Media said in a statement. "Demerger of the FM radio business of the Company, except the FM radio business operated by the Company in Hyderabad and Uttar Pradesh, on a going concern basis and subsequent transfer and vesting of the same to NMW," the company added. Stating that FM radio broadcasting business has good growth potential, the management of the companies believe that they have synergies in their FM radio broadcasting business, the company said. The consolidation of the radio business has been proposed for synchronised planning, better coordination, standardisation of business process under a dedicated management that can pursue the independent business strategy. "As part of the single listed entity, the FM radio broadcasting business shall be in a position to attract the right set of investors, strategic partners, employees and other relevant stakeholders," HT Media said. HT Media owns two popular Hindi radio channels Radio Nasha and Fever FM. The two channels have presence in metro cities and Uttar Pradesh. Next Mediaworks has segmented\u00a0radio stations across metro cities under the brand Radio One through its\u00a0subsidiary Next Radio Ltd.