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$4.1b takeover deal for Seven Media Group

Billionaire Kerry Stokes' West Australian Newspaper Holdings will take over Seven Media Group in a deal worth $4.1 billion.

Billionaire Kerry Stokes’ West Australian Newspaper Holdings will take over Seven Media Group in a deal worth $4.1 billion.

Perth-based WAN will raise $1.154 billion to fund the acquisition, which will combine its newspaper interests with Seven Media’s television network and magazines. WAN will acquire Seven Media from Kerry Stokes and private equity group Kohlberg Kravis Roberts.

This will make it Australia’s largest television and newspaper company and more than trebles the size of WAN.

The sale of Seven had been anticipated this year, at the same time as private equity firm CVC Asia Pacific is expected to float rival PBL Media, owner of Channel Nine, for $5 billion.

Source: The Age, Reuters

7 Responses

  1. If the deal goes through it won’t mean WA will get any shows made in this state. They’ll still be made in the east missing out on the great talent we have here.

    Also given WAN owns some radio licences will they have to sell off some assets as they would own tv, newspaper and radio.

  2. @Luke – you’re comparing apples with oranges. It’s not the Seven TV network that’s worth $4.1b nor is it Nine that’s worth $5b.

    Seven Media Group owns 1/3 of Sky News, 1/2 of Yahoo7, a big chunk of TiVo and about 20 magazines.

    PBL owns Ticketek, 1/2 of NineMSN, 1/2 of CarSales, over 100 magazines, and some other stuff I can’t be bothered looking up.

  3. All this means is bigger bonus payments for fat cat executives.

    Hopefully share holders will benefit too. With Seven shares jumping up 2 per cent today perhaps it’s a sign it will

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