Nine announces full takeover of Macquarie Media
Macquarie Media will soon be wholly owned by Nine, after the latter announced it is buying out the remaining shares in the radio broadcaster.
In an announcement to the ASX, Nine revealed it had struck a deal to take total control of Macquarie, which it inherited a majority stake in last year following its merger with Fairfax.
The deal is reportedly worth $113.9 million, and will see John Singleton sell his 32.4% stake of the broadcaster.
Singleton agreed to the sale after meeting with the Macquarie Media board, after its directors recommended accepting the deal.
Nine purchases the remaining 45.5% stake, with its offer valuing Macquarie Media and its high-rating AM stations 2GB, 4BC, 3AW & 6PR at $275.4 million.
“The acquisition of Macquarie Media consolidates Nine’s position as the leading provider of news and current affairs content across all of the key platforms – television, digital, print and now radio,” said Nine CEO Hugh Marks.
“We are big believers in the power of Macquarie’s talk radio network and in its people. A team who together drive debate and speak up so often for so many Australians. We look forward to the future growth of the business with the full backing of Nine and to ensuring that the Macquarie Radio team have the support, infrastructure and clarity to be able to do what they do best.
“Together across our businesses we will be investing more than $400 million per year in providing Australians with premium news and editorial content. Entrenching Nine as the go-to place for all news needs for all Australians, across all platforms.”
The acquisition will reportedly be financed entirely by cash reserves and existing debt facilities.
Subject to acceptance by the remaining Macquarie shareholders, the transition will be completed by December 2019.