Holleran: ‘we’re not sellers’

Following speculation that Southern Cross Media (owners of Southern Cross Austereo) may decide to sell some assets in order to reduce debt, CEO Rhys Holleran has moved to put that commentary to bed.

Speaking to the Financial Review, Holleran said; “There has been absolutely no discussion about any divestments”.

Southern Cross Media is carrying net debt of $629m, higher than others in the media sector. Simon Marais of fund manager Allan Gray, who own 12% of Southern Cross's shares, has previously asked the board if they would sell assets to reduce debt. Marais said;

“Their answer has been if someone offers a great price for something, we’d consider it. But we’re not forced sellers” .

The largest shareholding in Southern Cross is held by the Macquarie Group, with 26%.

In early trade on the ASX, Southern Cross shares were down slightly to $1.36.