ACCC Clears Southern Cross Takeover of Seven West Media

Overview

• The competition regulator said the radio–audio group and the TV–print publisher are not close competitors for content or advertising.
• The ACCC cited growing competition from streaming services and online advertising that continues to pull spend from traditional media.
• In regional Western Australia, the review found the two companies attract different local advertisers and are not close rivals for those ad dollars.
• Merger terms grant 0.1552 Southern Cross shares for each Seven West share, resulting in about 50.1% ownership for SCA shareholders and 49.9% for SWM shareholders.
• Seven West shareholder approval is still required while Southern Cross’s is not, and Kerry Stokes has indicated he will retire in February after chairing the combined board until then.