What's New
BY Sarah Patterson April 24, 2024
What's New February 23, 2024
ARN reaffirms commitment to SCA takeover bid in annual report
Reporter
ARN Media has reaffirmed its commitment to the proposed SCA acquisition, providing an update in its annual report.
ARN – which partnered with investment firm Anchorage Capital Partners to form a consortium to bid for SCA – says “The Consortium remains committed to delivering a clear, compelling and certain transaction for SCA shareholders in a timely and efficient manner, unlocking material value for both ARN and SCA shareholders.”
Anchorage says it has been actively participating in the due diligence process.
ARN reportedly hopes to secure a binding transaction as early as next month.
ARN detailed its commercial rationale, which includes enhancing ARN’s digital audio assets as well as its metro radio network across Sydney, Melbourne, Brisbane, Adelaide and Perth.
It says this would be anchored by KIIS and Triple M brands delivering a complementary offering in each location, as well as a significantly enhanced regional offering.
ARN reported a 22% decline in net profits after tax to $29.5m, as well as a 23% rise in net debt to $75.1m.
ARN CEO Ciaran Davis promised to identify and deliver further efficiencies across the company.
As far as its trading outlook goes, the network reports a positive start to the year, with January metro, regional and digital revenues all up on the prior comparative period.
ARN says its operational performance has been strong against a backdrop of reduced advertising spend, in a highly competitive market.
It also notes that its digital audience is expanding.
“We continue to grow our audiences across broadcast radio, digital audio streaming and podcasting through a considered content strategy that delivers Australia’s most popular content from world class talent, coupled with a distribution strategy that delivers this content everywhere audiences seek it.”
Also highlighted in the report were the contracts of two top rating Breakfast shows in Sydney and Melbourne being extended for significant periods, with Kyle & Jackie O expected to drive commercial opportunity when they go to air in Melbourne.
RG Capital could network content to Devonport before the millennium rolled over, how can ARN not get a single show on air in Melbourne?
1000s of jobs are at risk here. This is a dangerous move if allowed to go ahead.
Still needs approval by ACMA and ASIC doesn’t it? This reads like it’s already been approved. Would be huge job losses if it went ahead.
ARN share price down 53% in 2 years. That should be more of a concern. Programming not up to scratch. Duncan leading the team is way out of touch.
Hope when SCA is taken over by ARN nova entertainment buys two midpoint stations in market,b preferably the hit and Triple M network on Lee making the regional divisions of hits and Triple M nova and smooth while making Triple M in Brisbane Adelaide Perth makes one 06.3 Canberra triple Newcastle, as part of the smooth network while every hit network station in Australia, part of the northern networkb
If you’re not currently at the pinnacle of the tree, you’re slated for extinction within the next 12 months.