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

 

Ireland's Independent News backs APN board

Ireland's Independent News backs APN board to grow shareholder value

By Paul McBeth

Sept. 12 (BusinessDesk) - Irish media group Independent News & Media is backing the board of APN News & Media to grow shareholder value, as the Australasian publisher and broadcaster considers carving out its New Zealand unit.

The Dublin-based company, which is controlled by Irish billionaire Dennis O'Brien, will support any moves by APN to increase the value of its 18.6 percent stake in the trans-Tasman media company, the most recent initiative being the possible sell-down and float of its New Zealand businesses, including the New Zealand Herald newspaper and The Radio Network.

"The company is supportive of anything that the APN board is considering that has the potential to create value for its shareholders," INM said in an emailed statement.

APN estimates an initial public offer of 60 percent of APN New Zealand would generate some A$308.6 million of gross proceeds, based on the carrying value of the unit. Of that, some A$169.4 million would be raised through the float, and a further NZ$150 million from a ‘note payable’ as a result of restructuring the New Zealand unit.

The funds raised would repay A$241.6 million of APN debt, and A$67.1 million would be added to the media group’s cash holdings.

Independent News had its APN stake diluted in a A$112 million rights issue, which the Australian company used to buy out its partner in its radio businesses. The Irish company's entitlement in the issue was taken up by O'Brien who kept his total interest at 30.8 percent.

The Irish company and fellow APN shareholder Allan Gray Australia forced a board-room shake-out of the Australian media group last year after baulking at APN’s plans to raise capital to shore up its own debt-plagued books.

APN had net debt of A$482.6 million as at June 30, and renegotiated a new A$630 million banking facility in August which sees its next major maturity in January 2018. The media group plans an early redemption for $100 million of NZX-listed bonds, and yesterday scotched plans to raise US$250 million of bonds from US investors after failing to settle on the terms and conditions for the notes.

The dual-listed shares of APN were unchanged at 92 cents on the NZX, and last traded at 83 Australian cents on the ASX. The stock has almost doubled on both bourses this year.

(BusinessDesk)

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Government: RSI ‘State Of The Nation’ Report Published
latest research, science and innovation system report card is now available, and outlines how the system is performing, Research, Science and Innovation Minister Megan Woods has announced. “The report seeks to increase transparency, act as a reliable data source and stimulate discussion... More>>




Fonterra: Increases 2021/22 Forecast Farmgate Milk Price

Fonterra Co-operative Group Limited today increased and narrowed its forecast Farmgate Milk Price range to NZD $7.90 - $8.90 per kgMS, from NZD $7.25 - $8.75 per kgMS. The midpoint of the range, which farmers are paid off, has increased to NZD $8.40 per kgMS, from NZD $8.00 per kgMS... More>>

Stats: Auckland’s Population Falls For The First Time
In the wake of the COVID-19 pandemic, New Zealand’s population growth slowed down with Auckland recording a population decline for the first time ever, Stats NZ said today. “New Zealand saw slowing population growth in all regions... More>>



Pamu & Westpac: Market-leading Sustainability-Linked Loan

Westpac NZ and Pāmu have signed New Zealand’s most comprehensive Sustainability-Linked Loan to date, also the largest in the agricultural sector, and the first involving a state-owned enterprise. Pāmu, also known as Landcorp, is New Zealand’s biggest farming business. It will borrow $85m from Westpac NZ over three years... More>>


Retail NZ: Some Good News In COVID Announcements, But Firm Dates Needed

Retail NZ is welcoming news that the Government is increasing financial support for businesses in light of the ongoing COVID-19 lockdown, and that retail will be able to open at all stages of the new “Covid Protection Framework... More>>

ComCom: Companies In Hot Water For Selling Unsafe Hot Water Bottles And Toys

A wholesaler and a retailer have been fined a total of $140,000 under the Fair Trading Act for selling hot water bottles and toys that did not comply with mandatory safety requirements. Paramount Merchandise Company Limited (Paramount) was fined $104,000 after pleading guilty in the Manukau District Court... More>>