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

 

Fairfax and APN in Exclusive Discussions on NZ Merger

Fairfax and APN in Exclusive Discussions to Explore the Merger of Their New Zealand Businesses

SYDNEY, 11 May 2016: Fairfax Media Limited [ASX:FXJ] (Fairfax) and APN News & Media Limited [ASX, NZX:APN] (APN) today announced that they are in exclusive discussions to explore a merger between APN’s New Zealand business (NZME) and Fairfax New Zealand.

If completed, the combined company will be a leading New Zealand media business, offering depth of news, sport and entertainment coverage across a diverse mix of channels including print, digital and radio.

The New Zealand businesses of NZME and Fairfax are, to a large extent, complementary. The expanded network of brands and channels would create an opportunity to deliver improved, innovative offerings to advertisers and audiences.

Fairfax Chief Executive Officer and Managing Director Greg Hywood said: “This is an important opportunity for all of our shareholders to be part of the future of content and journalism in New Zealand. The merger would enhance the position the businesses are in to continue to deliver high quality, local content to audiences now and in the future."

APN Chief Executive Officer Ciaran Davis added: “Along with the other initiatives APN announced this morning, the merger of NZME and Fairfax’s NZ business provides an exciting opportunity for our shareholders, particularly our New Zealand shareholders, to participate in the creation of a leading media business for New Zealanders.

“The combination of these two businesses would provide the necessary capability to continue investing in high-quality local news, sport and entertainment at a time when advertiser commercial investment continues to fragment across international media platforms that do not invest in local content."

Simon Tong, the Managing Director of Fairfax NZ said: “As the tastes and habits of media consumers continue to evolve, so too do the needs of advertisers looking to reach these audiences. The depth and breadth of the combined business would be a win for audiences, and also enable us to create innovative solutions for advertisers based on the best of both of us."

Michael Boggs, Chief Executive of NZME added: “NZME has already demonstrated the significant benefits that can be achieved by combining news media, digital, ecommerce and radio operations. This merger offers a compelling opportunity to develop these important media brands in providing relevant and innovative news, sport and entertainment content for New Zealanders long into the future."

Transaction Structure

Fairfax and APN/NZME have commenced preliminary discussions around a potential transaction structure. The parties will continue to negotiate while APN continues to pursue its other strategic initiatives.

The transaction remains subject to agreement by the respective Boards of the businesses.

The discussions are subject to exclusivity provisions with standard fiduciary and other carve-outs.

Timetable and Approvals

The transaction is subject to all necessary regulatory consents, including New Zealand Commerce Commission (NZCC). The parties intend to work towards completion of the merger by the end of calendar 2016 subject to all approvals.

In addition to regulatory approvals, any necessary shareholder approvals will be sought at the appropriate time.

Fairfax and APN will keep shareholders informed of any material developments.

– ENDS –

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 



Westpac: More Job Opportunities, But Growth In Workers’ Earnings Remains Subdued

The Westpac McDermott Miller Employment Confidence Index rose 1.2 points in the December quarter, to a level of 106.9. This was the sixth straight rise in the index since the Covid-19 lockdown in 2020. Michael Gordon, Acting Chief Economist for Westpac, noted that the rise in the index has largely been driven by perceptions... More>>




Statistics: Card Spending Continues To Increase As COVID-19 Restrictions Ease

The busy Christmas period combined with easing COVID-19 restrictions helped to increase card spending in December 2021, Stats NZ said today... More>>


Westpac NZ: Warns About Sophisticated New Scam
Westpac NZ is warning New Zealanders about a sophisticated new scam that involves a fake Westpac investment prospectus.
The prospectus is formatted to resemble a Westpac document and includes professional-looking imagery... More>>


TradeMe: Job Market Ends 2021 On A High With Record Number Of Vacancies
The New Zealand job market finished 2021 on a high note, with the ball still firmly in the job hunters’ court, according to the analysis of 69,600 vacancies listed on Trade Me Jobs for the quarter ending 31 December (Q4)... More>>


Insurance Council of New Zealand: September South Island Windstorm Cost $36.5 M Raises 2021 Extreme Weather Claims Total To $321.6 M

Gale force winds and storms between 9 and 13 September 2021 resulted in insurers supporting communities to the tune of $36.5 m. This is a significant rise, of $16.7 m, on preliminary figures for the event and lifts the end of year total for all extreme weather events in 2021 to $321.6 m... More>>


Statistics: Building Consents Hit New Highs In November
There were a record 48,522 new homes consented in the year ended November 2021, Stats NZ said today. This was up 26 percent compared with the year ended November 2020... More>>