SEN CEO Craig Hutchison claims company’s stock price is ‘unbelievably great value’
Sports Entertainment Network’s (SEN) CEO Craig Hutchison says the company’s relatively stagnant stock price – currents 26 cents – is “unbelievably great value” given how much the company has scaled in recent years.
Hutchison’s Crocmedia announced plans to merge with ASX-listed Pacific Star Network in 2017 and then confirmed its plans in 2018. The $23.9 million stock-only deal saw Hutchison become CEO of the merged entity with a 24.4% stake.
Since then, the ASX entity has been rebranded as Sports Entertainment Group, while the consumer-facing name is Sports Entertainment Network.
Despite all this, the share price continues to hover around 26 cents.
“For anyone listening out there, you can have a look at our stock. We’re unbelievably great value at 25 or 26 cents today,” Hutchison told the Dyl & Friends podcast last week. “That’s the same price we were at the same time we went in, and yet we’ve done so much and scaled so much. So, from a public markets perspective, I think we’re an incredible opportunity… I think we’re an unbelievably solid business now, well positioned for a long run at things in the future.”
Hutchison said there’s a lot of room for growth with the business’ radio assets, particularly Sydney’s 1170, which could be “bigger, bolder and more socially relevant”.
“We’ve got a lot of work to do… We’ve got so many radio licenses we haven’t yet really grown into. There’s a lot of blue sky in our radio business, there’s a lot of blue sky in our television business, our event business is growing, our TV business I mentioned is growing, our talent business is growing, our recent acquisition of the Wildcasts has got a lot of work to do. So I feel like the next three to six months are about harvest and trying to consolidate and try to focus on those new areas – and then we’ll look at what’s next,” he said.
Hutchison said his addiction to running and growing the business is a “healthy” one, although not everyone would agree.
“There’s worse addictions to have than being addicted to your business,” he told podcast host Dylan Buckley. “Most addictions are negative. Some people would say I’m a little too addicted to the detail in our business. But it means something every day. It’s a privilege but not a right to be in a business like ours where you can produce content every day, you can entertain people, or you can drive scale into your clients and you can help solve their problems from a marketing sense. That’s a privilege, not a right.”
The ever-changing media landscape means he can’t take his eye off the game for a minute, he said, noting it’s addictive because it needs to be.
“It’s a seven day a week business. It’s not easy. It’s not plausible to have your day off even if you wanted to… It’s great. There’s days where you love it more than others, but it’s a great privilege.”
Later in the podcast he said he’s not craving switching off.
“It’s all fun,” he added. “You wouldn’t do it if it wasn’t fun. The word you used before was addictive, and I think you’re right. It’s a, hopefully a healthy addiction, but we do want to be relevant in every town we do business in. So I’m as interested in Wellington as I am in Kalgoorlie and everything in between.”