Canwest Mediaworks Offer Closes Fully Subscribed

Canwest Mediaworks Offer Closes Fully Subscribed

Auckland - CanWest MediaWorks (NZ) Limited confirmed that its offer for 68 million shares closed yesterday fully subscribed.

The offer was successful in raising $104.0 million for CanWest MediaWorks. The final price of $1.53 per share was set following an institutional bookbuild process.

CanWest MediaWorks Chairman Tom Strike said CanWest MediaWorks would use the net proceeds of the offer, together with $200 million of cash borrowed under a bank 5-year revolving term credit facility and issue a further 158,666,667 shares to a member of the CanWest Global group, to complete the acquisition of the New Zealand radio and television businesses of the CanWest Global Group. These businesses include the largest radio group in New Zealand comprising six national brands and 22 regional stations, and the leading privately-owned free-to-air television networks, TV3 and C4.

Investors will be able to confirm their allocations from 8am on 29 July by calling Computershare on 09 4888 777. CanWest MediaWorks is expected to list on the NZSX on 29 July.

Application has been made to NZX for permission to list the securities and all the requirements of NZX relating thereto that can be complied with on or before the date of distribution of the advertisement have been duly complied with. However, NZX accepts no responsibility for any statement in the advertisement.

On completion of the offer and restructuring, CanWest MediaWorks will be a subsidiary of CanWest Global Communications Corp (NYSE: CWG; TSX: CGS.S and CGS.a, www.canwestglobal.com), an international media company. Canwest, Canada’ largest publisher of daily newspapers, owns, operates and/or hold substantial interests in newspapers, conventional television networks, out-of-home advertising, specialty cable channels, web sites, and radio stations and networks in Canada, New Zealand, Australia and the Republic of Ireland.

© Scoop Media