Takeover Offer To Be Made For Canwest Mediaworks

Tuesday, 8 May 2007

Takeover Offer To Be Made For Canwest Mediaworks (NZ)

AUCKLAND. CanWest MediaWorks (NZ) Limited today confirmed its understanding that a lock-up agreement has been signed between its majority shareholder, CanWest MediaWorks Ireland Holdings (“CanWest”) and HT Media Limited (a company controlled by Ironbridge Capital) (“HT Media”). The Company has been advised that, pursuant to the agreement, HT Media has agreed to make a takeover offer for all of the Company’s ordinary shares and options, and CanWest has agreed to accept that offer in respect of its 69.992% shareholding.

Brent Impey confirmed that, upon completion of the takeover offer, control of the Company will change.

“A committee of Independent Directors, comprising David Jackson (chairman), Susan Sheldon and Craig Thompson, has been formed to oversee all aspects of the Company’s response to the offer. Accordingly, it is not appropriate for the Company to comment on the merits of the offer at this stage,” said Mr Impey.

“However, as it is clear that CanWest is likely to exit the Company as a shareholder, I would like to acknowledge the tremendous relationship we have had with the CanWest group, and the great support they have offered this Company, particularly through some tough years in the early part of their ownership of the New Zealand group. In particular, I would like to thank our Chair, Tom Strike, for his support and leadership in his role over the last few years. The New Zealand media sector is richer for CanWest’s involvement here over the past 15 years,” he said.

Mr Impey said he would await the independent report of Grant Samuel and the Independent Directors’ recommendation with interest.

Details of the process from this point are outlined in NZX advisories.

CanWest MediaWorks (NZ) Limited (NZX: MWL) (website: www.mediaworks.co.nz) is New Zealand’s leading private sector broadcast media company. Through its wholly owned subsidiaries, CanWest TVWorks Limited and CanWest RadioWorks Limited, it owns and operates the TV3 and C4 television networks, national radio brands The Edge, The Rock, More FM, Kiwi FM, RadioLIVE, Radio Pacific/Radio Trackside, Solid Gold and The Breeze, plus several local radio stations.

CanWest MediaWorks NZ Limited is a majority owned subsidiary of CanWest Global Communications Corp. (www.canwestglobal.com), (TSX: CGS and CGS.A, NYSE: CWG), an international media company and Canada’s largest media company. CanWest is Canada’s largest publisher of daily newspapers and also owns, operates and/or holds substantial interests in conventional television, out-of-home advertising, specialty cable channels, web sites and radio stations and networks in Canada, New Zealand, Australia, Turkey, Singapore, Indonesia, Malaysia, the United Kingdom and the United States.

ENDS

© Scoop Media