SCA and Seven West Media have successfully negotiated one potential hurdle in their deal to combine their businesses.
The merged group, bringing together radio/audio and television assets, would have combined revenue of $1.777 billion and have a market capitalisation of $417 million.
SCA has been given a waiver by the ASX over its acquisition of shares held by fund manager Spheria Asset Management, which has 9.84% of Seven West Media. It also has about 13.14% of SCA.
SCA would have needed to obtain shareholder approval for Spheria to participate in the transaction.
“ASX has confirmed that it will not require SCA to seek shareholder approval,” SCA said in a statement to the market.
“The transaction is not a back door listing because it is the acquisition of one listed entity by another listed entity.
“In addition, the transaction does not result in a fundamental change in the nature of SCA’s main undertaking.
“SCA and SWM are both diversified media businesses focused on the development and delivery of content to audiences across their broadcasting, publishing and digital platforms and the marketing and delivery of advertising to consumers across those platforms.”
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