Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Independent News moves resolution for APN director clean-out

Independent News moves resolution for APN boardroom clean-out

By Paul McBeth

Feb. 18 (BusinessDesk) - Independent News & Media, the Irish media group controlled by billionaire Denis O'Brien, wants a complete clean-out of APN News & Media's boardroom after gunning for chief executive Brett Chenoweth's head last week.

The Irish group has made an official request for a general meeting that would put APN directors Chenoweth, Melinda Conrad, John Harvey, Kevin Luscombe, John Maasland and chairman Peter Hunt on the block. The survivors would include INM's appointees Paul Connolly, Vincent Crowley, former INM director Peter Cosgrove and deputy chair Ted Harris.

The boardroom stoush emerged last week, and has been linked to Chenoweth's plans for a pro-rata capital raising that has the blessing of adviser Macquarie Capital. APN said another announcement regarding the capital raising and other matters will come later today and the stock remains halted in the meantime.

INM holds about 29 percent of APN, and O'Brien has a further 1.8 percent on his personal account, and could force APN’s hand with the support of fund manager Allan Gray’s 20 percent stake in the company.

Allan Gray managing director Simon Marais told the Australian Financial Review last week he opposed the rights issue, and has previously said he favours a tie-up with Fairfax Media Group, of which he's also a substantial shareholder.

Angus Gluskie, head of Sydney-based White Funds Management, doesn't specifically follow APN, but says a cheap offer to raise capital could attract interest from bargain hunters as the downturn in media starts to abate.

"You can see some potential appetite because the cycle is turning more favourably," Gluskie said.

INM agreed to sell its South African unit for 2 billion rand to a consortium led by Sekunjalo Holdings on Sunday, according to a Reuters report. That leaves APN as its only operation outside Ireland.

APN is grappling with falling advertising revenue and plans to sell non-core media assets in New Zealand following a strategic review of operations in this country. It took an A$485 million charge against its New Zealand publishing assets unit as part of the ongoing review.

The stock, which was halted last week at 30 Australian cents, is rated an average 'underperform' based on 11 analyst recommendations compiled by Reuters with a median target price at 31.5 Australian cents. That gives it a market capitalisation of A$199.5 million, compared to the A$900.6 million enterprise valuation.

INM has gone through its own boardroom battle in recent years after O'Brien successfully ousted the O'Reilly family, after a ceasefire between the billionaires in 2009.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Scoop Business: Embrace Falling Home Affordability, Says NZIER

Despair over the inability to afford a house is misplaced and should be embraced as an opportunity to invest in more wealth-creating activity, says the principal economist at the New Zealand Institute of Economic Research, Shamubeel Eaqub. More>>

Productivity Commission: NZ Regulation Not Keeping Pace

New Zealand regulators often have to work with out-of-date legislation, quality checks are under strain, and regulatory workers need better training and development. More>>

ALSO:

Callaghan Innovation: Investment To Help Deepen Innovation Reporting

Callaghan Innovation, the government’s high tech HQ for Kiwi business, is to help deepen New Zealand media coverage of the commercialisation of innovation through an arms-length partnership with independent business news service BusinessDesk. More>>

ALSO:

Tax Credits, Grants: Greens $1Bn R&D Plan

In the Party’s headline economic announcement, the Greens have launched their plan to build a smarter, more innovative economy which has as its centrepiece an additional $1 billion of government investment in research and development (R&D) above current spend, including tax breaks for business. More>>

ALSO:

Inflation: CPI Increases 0.3 Percent In June Quarter

The consumers price index (CPI) rose 0.3 percent in the June 2014 quarter, Statistics New Zealand said today. This follows rises of 0.3 percent the March quarter and 0.1 percent in the December 2013 quarter. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news