Nine has sold its radio assets and bought outdoor media player QMS.
The transactions, representing a net investment of $601 million, is a step change in Nine’s asset portfolio, with digital growth businesses now expected to account for more than 60% of revenue.
The deals also reduces Nine’s exposure to broadcast, both TV and radio.
The changes include transferring of NBN (Northern NSW) to Nine’s affiliate, WIN Network.
"Our goal – to be Australia’s leading, digital first media business," said Nine.
"The reshaped portfolio meaningfully enhances Nine’s offering to advertisers as a unique cross-platform digital media proposition, combining Nine’s premium assets in Streaming and Broadcast, and Publishing with QMS’s leading outdoor assets."
Nine has agreed to pay $850 million to Quadrant Private Equity for QMS.
And the media group is selling Nine’s broadcast radio assets - 2GB, 3AW, 4BC, 6PR, 2UE, Magic1278 and 4BH - to the Laundy Family Office, a hotel and hospitality group, on a cash and debt free enterprise value of $56 million.
“Today’s announcements mark a critical milestone in our Nine2028 transformation," said CEO Matt Stanton.
"These transactions will create a more efficient, higher-growth, and digitally powered Nine Group for our consumers, advertisers, shareholders and people.
"This positions Nine well for the future, enabling the Group to withstand industry disruption and deliver long-term sustainable value to our shareholders.”
Stanton. said the acquisition of the high-growth digital outdoor media company QMS further diversifies Nine’s revenue streams and adds scale to advertiser and agency relationships.
“Together with our existing media assets, the acquisition will allow Nine to offer customers a broader advertising solution and the use of tools such as Nine Ad Manager for more targeted and localised messaging across a wider set of customers," he said.
"We also see the opportunity to promote and drive subscriptions for our publishing mastheads and Stan through leveraging any excess QMS inventory.
“The QMS network will provide Nine with a branded platform to support key national news and sporting moments and serve as a public service utility for governments at all levels in times of emergency or community need. We are excited about the potential in this space.
“QMS is a highly complementary media platform, offering Nine the opportunity to drive significant value by leveraging our premium content on QMS screens and creating an unparalleled advertising proposition that spans from ‘Sofa to Street’.”
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