SCA no longer interested in NZME radio assets

Southern Cross Austereo is no longer interested in acquiring New Zealand-listed media company NZME.

CEO Grant Blackley shut down speculation about a potential deal, published in a report published by News Corp last week.

Speaking with the AFR, Blackley said “SCA is interested in assets that can benefit from its core competencies and the mix of print and radio assets at NZME does not fit that bill.”

Over the past couple of years, SCA had publicly expressed interest in the radio side of NZME’s business if the company could separate its radio assets from its print division.

Southern Cross Austereo last week reported a 6.1% increase in earnings in the six months to December 31.

But net losses tallied $119.3 million, after a $37.5 million profit in the same period a year before.

Speaking with Radio Today, CEO Blackley predicted further growth in SCA’s metro market following a turnaround.

He also pointed to the growth of DAB+ digital and podcasting as signs of “positive momentum behind the sector.”