Mergers / Acquisitions - Australia
By Leah McBride Mensching, Friday 25 May 2007 at 02:07 :: Media Ownership :: #188 :: rss
by Tatiana Repkova
A consortium led by Ireland's Independent News and Media PLC has failed in its attempt to gain 100 percentpercent ownership of Australia's third largest media group, APN News&Media Ltd, with shareholders voting against the deal, APN said.
The 6.20 aud a share offer valued APN at about 3.0 billion aud and was within an independent expert's valuation range of 6.18-6.53 aud a share. APN's independent directors had said the offer was fair and reasonable but the deal needed approval from shareholders representing at least 75 percentpercent of APN's issued capital. Independent, which owns 42 percentpercent of APN, could not vote its holding because it was part of the bidding consortium.
APN is now expected to pay a dividend of 0.16 aud a share, having postponed the payment in February when it reported a 159.5 million aud net profit for the year to December. Independent had hoped to realize 500 million aud in cash from a restructuring of its holding in APN to allow for a higher debt load and shared control with private equity interests.
The Independent News led consortium included private equity firms Carlyle Group and Providence Equity Partners. If the proposal had gone ahead the Independent News holding would have been reduced to 35 percentpercent, while Carlyle would have held 27.5 percentpercent and Providence 37.5 percentpercent. APN publishes 23 daily and more than 100 non-daily newspapers across Australia and New Zealand. In New Zealand, APN owns the country's largest metropolitan daily, The New Zealand Herald. It is also Australasia's largest radio broadcaster, with investments in 12 metropolitan radio stations in Australia and 120 radio stations in New Zealand.
http://www.finanznachrichten.de/nachrichten-2007-05/artikel-8307674.asp; May 25, 2007




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