Nine fights tech giants with new ad model

Original article by Max Mason
The Australian Financial Review – Page: 14 : 17-Oct-19

Nine Entertainment Company has used its annual ‘upfronts’ to reveal that it will adopt a cost per completed view model for advertising across its digital platforms. Clients will be charged only if a video ad is viewed in full. The move is aimed at technology giants Facebook and Google, which have attracted scrutiny over their own advertising policies. Nine has also advised that it has amalgamated the data that has been gathered across its digital platforms.

CORPORATES
NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, FACEBOOK INCORPORATED, GOOGLE INCORPORATED, YOUTUBE INCORPORATED, FAIRFAX MEDIA LIMITED

Southern Cross hit hard by sell-off

Original article by Lilly Vitorovich
The Australian – Page: 19 : 16-Oct-19

Southern Cross Media Group has advised that EBITDA for the first half of 2019-20 is expected to be within the range of $60m to $68m, compared with $82m for the same period in 2018-19. The group has also reported that revenue for the first quarter was 8.5 per cent lower than previously, due to challenging conditions in the advertising market. CFO Nick McKechnie says the group has no plans for further asset sales after selling its broadcast transmission assets in August.

CORPORATES
SOUTHERN CROSS MEDIA GROUP LIMITED – ASX SXL, BROADCAST AUSTRALIA PTY LTD

Carnegie finally tunes out of Macquarie

Original article by Lilly Vitorovich
The Australian – Page: 17 & 28 : 8-Oct-19

Nine Entertainment Company has reached the 90 per cent threshold to compulsorily acquire Macquarie Media, after venture capitalist Mark Carnegie accepted the offer of $1.46 per share. Carnegie says he had no option other than agreeing to the Nine deal, and he adds that radio – and news talk radio in particular – is a powerful media that will be a good fit for Nine’s other media assets. Nine CEO Hugh Marks has also stressed the power of talk radio and says he is looking forward to working with the Macquarie team.

CORPORATES
NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, MACQUARIE MEDIA LIMITED – ASX MRN, WILSON ASSET MANAGEMENT, FAIRFAX MEDIA LIMITED

ACMA probes Gordon’s Prime shares

Original article by Max Mason
The Australian Financial Review – Page: 29 : 7-Oct-19

WIN Corporation owner Bruce Gordon currently has a 19.7 per cent stake in rival regional TV broadcaster Prime Media Group. This comprises a direct stake of 11.6 per cent and an 8.1 per cent stake held via a cash-settled share swap. The Australian Communications & Media Authority is investigating Gordon after his ‘relevant interest’ in Prime exceeded the maximum of 20 per cent earlier in 2019. However, ACMA is expected to conclude that the breach was an error caused by the failure of a middleman to properly execute a swap with Swiss bank Vontobel.

CORPORATES
WIN CORPORATION PTY LTD, PRIME MEDIA GROUP LIMITED – ASX PRT, AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, VONTOBEL BANK, DEUTSCHE BANK AG, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, TEN NETWORK HOLDINGS LIMITED

Mags next as Seven rings in changes

Original article by Zoe Samios
The Australian – Page: 23 : 7-Oct-19

Pacific ­Magazines may be the next casualty of Seven West Media’s restructuring under new CEO James Warburton, with reports that Seven is in talks to sell the business to Bauer Media. The two parties have declined to comment on the potential deal, which would have to be approved by the Australian Competition & Consumer Commission. Pacific Magazines’ revenue fell by 7.2 per cent in 2018-19, to $129.4m. About 180 jobs are expected to be cut at Seven West Media as part of the restructuring.

CORPORATES
SEVEN WEST MEDIA LIMITED – ASX SWM, PACIFIC MAGAZINES PTY LTD, BAUER MEDIA AUSTRALIA PTY LTD, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, BAUER MEDIA KG

Nine to seal Macquarie deal as Carnegie sells out for $9m

Original article by Max Mason
The Australian Financial Review – Page: 19 : 4-Oct-19

Venture capitalist Mark Carnegie is believed to have agreed to sell his 3.6 per cent stake in Macquarie Media to Nine Entertainment Company. This would put Nine over the 90 per cent threshold for the compulsory acquisition of the radio stations owner. Wilson Asset Management chairman Geoff Wilson, who has a 4.7 per cent stake in Macquarie, is continuing to push for a better offer for small shareholders; he contends that Nine’s $1.46-per-share bid undervalues the target.

CORPORATES
NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, MACQUARIE MEDIA LIMITED – ASX MRN, WILSON ASSET MANAGEMENT

Reforms to level media playing field

Original article by Max Mason
The Australian Financial Review – Page: 7 : 4-Oct-19

Traditional and digital media companies will be subject to the same regulatory regime under changes proposed by the federal government. Any reforms arising from the review of the regulatory regime are expected to be implemented in stages, as recommended by the Australian Competition & Consumer Commission in the final report of its Digital Platforms Inquiry. Potential reforms could include imposing local content obligation on subscription video-on-demand services and increasing the producer tax offset for TV shows.

CORPORATES
AUSTRALIA. DEPT OF COMMUNICATIONS AND THE ARTS, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, STAN ENTERTAINMENT PTY LTD, NETFLIX INCORPORATED, AMAZON PRIME VIDEO, DISNEY+

CEO shakes up Seven with new structure and job cuts

Original article by Max Mason
The Australian Financial Review – Page: 15 & 18 : 3-Oct-19

The number of people who report directly to Seven West Media CEO James Warburton has been reduced from 17 to just eight as part of a broader restructuring at the group. Seven West Media will also hire three new executives, including the newly-created role of chief content officer. Seven will also streamline its operating divisions and shed staff as it seeks to reduce costs by about $20m in 2019-20. Warburton had flagged an overhaul at Seven West Media when he took the helm in August.

CORPORATES
SEVEN WEST MEDIA LIMITED – ASX SWM, SEVEN NETWORK LIMITED, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, NINE NETWORK AUSTRALIA LIMITED, FAIRFAX MEDIA LIMITED, TEN NETWORK HOLDINGS LIMITED

Nine closes in on Macquarie

Original article by Lilly Vitorovich
The Australian – Page: 19 : 2-Oct-19

Nine Entertainment Company has lifted its stake in Macquarie Media to 88.78 per cent, with its offer of $1.46 per share due to close on 14 October. The support of Wilson Asset Management and Mark Carnegie – with Macquarie stakes of 2.9 per cent and 3.6 per cent respectively – remain crucial to whether Nine passes the 90 per cent threshold to trigger compulsory acquisition. Macquarie broadcaster Alan Jones also has a one per cent stake in the company, and advertising veteran John Singleton expects him to accept the offer.

CORPORATES
NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, MACQUARIE MEDIA LIMITED – ASX MRN, WILSON ASSET MANAGEMENT

‘We’re here to help’ pledge challenged

Original article by Zoe Samios
The Australian – Page: 23 : 30-Sep-19

Australia’s commercial free-to-air TV networks argue that regulation of digital giants such as Google and Facebook is necessary. Nine Entertainment’s group director of regulatory affairs, Clare Gill, has stressed the need for a regulated response from the federal government, to ensure a level playing field for traditional media companies and digital platforms. Ten’s COO Annabelle Hird has expressed concern that digital platforms’ behaviour will not change unless they are subject to a code of conduct or monitoring by the ACCC.

CORPORATES
NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, TEN NETWORK HOLDINGS LIMITED, SEVEN WEST MEDIA LIMITED – ASX SWM, CBS CORPORATION, GOOGLE INCORPORATED, FACEBOOK INCORPORATED, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, FAIRFAX MEDIA LIMITED, INTERNATIONAL NEWS MEDIA ASSOCIATION