Nine Entertainment to take over Fairfax media in estimated A$4BN deal

Nine EntertainmentAustralia’s Nine Entertainment is to take over Fairfax Media, for an estimated A$4 billion. The television network will take a controlling 51.1% stake in the newly merged company, which will be renamed NEC, or Nine Entertainment Company. Nine will acquire all of Fairfax’s shares and take a controlling 51.1% share in the new business, which will be called NEC. Under the terms of the proposed transaction, Fairfax shareholders will receive 0.3627 Nine shares for each Fairfax share held and $0.025 cash. It represents a 21.9% premium to Fairfax’s closing share price of 77c on 25 July 2018.

Hugh Marks of Nine will be the new chief executive and Peter Costello, the Nine chairman, will now lead the board of the new business.

Costello said, “Both Nine and Fairfax have played an important role in shaping the Australian media landscape over many years. The combination of our businesses and our people best positions us to deliver new opportunities and innovations for our shareholders, staff, and all Australians in the years ahead.”

Marks added, “The ground-breaking merger – harnessing the strength, assets, quality and reach of two of the country’s most famous industry brands – is another highly significant step in the evolution of Nine’s business into one of the most powerful media organisations in the country. The scope of this deal is genuinely quite breathtaking. In addition to our existing television and digital businesses, the new NEC will also become the proprietor of the iconic Fairfax mastheads as well as the new majority owner of Domain (60%) and the Macquarie Radio Network (54.5%)“.

Fairfax Chief Executive Officer Greg Hywood said, “The proposed transaction for Fairfax reflects the success of Fairfax’s transformation strategy which has created value for shareholders through targeted investment in high growth businesses, such as Domain and Stan, and prudent management of our media assets. The combination with Nine provides an exciting opportunity to continue to drive incremental value well into the future. We are confident that the strength of the combined management team and staff will ensure the continuation of our quality journalism.”

Australia, Sydney

Related articles:

FUNKE MEDIENGRUPPE acquires regional newspapers and parts of the magazine portfolio from Axel Springer / Establishment of joint ventures for advertising ma

funkeFUNKE MEDIENGRUPPE is to acquire Axel Springer AG’s regional newspapers as well as its TV program guides and women’s magazines. In the fiscal year 2012 Axel Springer’s regional newspapers, TV program guides and women’s magazines businesses made €94.8 million in EBITDA and €512.4 million in revenues. The purchase price is  €920 million.

The two companies have also agreed to establish joint ventures for the marketing and distribution of print and digital media. In both joint venture companies, Axel Springer will have the majority interest.

Thomas Ziegler, Managing Director of FUNKE MEDIENGRUPPE: “We have to join forces – because the media market presents challenging tasks: Therefore, we are looking forward to work closely with Axel Springer AG in marketing and distribution within the framework of the joint ventures and we appreciate that selected print titles of Axel Springer will join our activities. New opportunities are emerging for our business: This applies to the print as well as to the online segment. Hereby, we gain an enormous potential for new developments, for example for the intelligent connection of both fields. Together with the colleagues which will join us, we will build a national media company. FUNKE MEDIENGRUPPE will stand for print media and online media, successful regional newspapers and successful magazines, journalistic quality and economic success.”

Mathias Döpfner, Chief Executive Officer Axel Springer AG: “The decision to divest some of our brands with the longest tradition in our company was not easy. However, we are sure that the grouping under the FUNKE MEDIENGRUPPE, which aims at focusing on regional print- and online-journalism and on magazines, provides the best long-term perspective for the brands and for the staff. The different strategies of both companies complement each other perfectly. Axel Springer AG will continue to follow the strategic direction to become the leading digital media group with a clear focus on the BILD- and WELT-groups, in which we will invest and further develop journalistically and which will remain the core business of Axel Springer in the very long term.”

The transaction is subject to approval under merger control and antitrust law, which is not expected to be obtained before the end of 2013.

Germany, Essen, North Rhine-Westphalia and Berlin

Related articles:

Progressive Digital Media Group – first 6 months results

progressiveBusiness information group Progressive Digital Media Group has announced its unaudited interim report for the six months ended 30 June 2013. Business Information, which includes Business Intelligence and Events and Marketing, now accounts for almost 98% of Group revenues and earnings. Business Information revenues grew by 11.3% in the first half (over the corresponding period in 2012), while Events and Marketing revenues fell. They were adversely impacted by the rephasing of a number of events from the first half of last year to the second half of this year.


Strong first half results, a robust balance sheet and continued investment provide the foundation for further growth.

  • Group revenue increased by 10.3% to £28.6m (2012: £25.9m)
  • EBITDA increased by 33.9% to £4.8m (2012: £3.6m)
  •  Adjusted EBITDA increased by 23.5% to £5.4m (2012: £4.3m)
  • Adjusted EBITDA Margin increased to 18.8% (2012: 16.8%)
  • Reported profit before tax grew by 77.2% to £3.5m (2012: £2.0m)


Mike Danson, Chairman of Progressive Digital Media Group Plc, commented:

“Our first half results reflect good performances across multiple channels. We are increasingly confident that our focus on building premium Consumer and Technology Business Information services will provide the basis for continued long-term profitable growth. With this in mind, we are accelerating our investment in our sales force, product offering, content and delivery platforms in the near to medium-term.”

For the full announcement and notes on the accounts figures, click here

UK, London

Related articles:

Progressive Digital Media Group preliminary results for the year ended 31 December 2012.

Business information business Progressive Digital Media Group Plc has announced preliminary results for the year ended 31 December progressive2012.

Full details of preliminary results


  • Group revenue increased by 6.9% to £53.9m (2011: £50.4m)
  • Adjusted EBITDA increased by 25.6% to £9.1m (2011: £7.2m)
  • Adjusted EBITDA margin increased to 16.9% (2011: 14.4%)
  • Reported EBITDA increased by 31.8% to £7.4m (2011: £5.6m)
  • Reported profit before tax of £4.3m (2011: £1.4m) inclusive of £0.9m restructuring costs and £0.8m share based payment charge
  • Cash generated from operations increased to £6.4m (2011: £2.9m)
  • Net cash of £6.2m (2011: net debt £22.5m)
  • Acquisition of Kable, one of the UK’s leading providers of technology expenditure intelligence on 2 July 2012. See the DigiNet article on the Kable acquisition.

Simon Pyper, Managing Director of Progressive Digital Media Group Plc, commented:

“This is the Group’s fourth consecutive year of revenue and earnings growth. We have made good progress across a broad range of our most important metrics. This past year we focused on putting in place the building blocks for future long-term growth and eliminating the distractions of our former email marketing business. We continued investing in our Business Information products, acquired a complementary business and re-engineered our balance sheet to both fund future growth and, when appropriate, to distribute dividends to our shareholders.”

UK, London

Related articles: