Nine sells stake in Southern Cross after only six months

Lindsay Bennett
By Lindsay Bennett | 30 September 2016

Nine Entertainment Co has sold its stake in South Cross Austereo (SCA) after only acquiring the 9.99% stake in the company in March.

The company sold its entire stake for $1.54 per share, an increase from the purchase price of $1.15 per share. 

Hugh Marks, Nine CEO, said in a statement to the ASX: “Our relationship with Southern Cross has never been better. The early performance of our new affiliate agreement has surpassed our expectations, and we look forward to a long and prosperous relationship between our two companies.”

The proceeds from the sale will provide Nine with “increased flexibility in executing its strategy in the future” across free-to-air, SVOD, AVOD and other digital assets.

In July, Nine secured a regional affiliation deal that allowed SCA to broadcast Nine’s content to regional Queensland, Southern Australia and Victoria. Under the agreement, SCA was to pay Nine an affiliation fee of 50% of its television revenue.

The deal with SCA ended Nine's long-term affiliation with WIN, which ended on a sour note when the regional broadcaster failed in a legal battle to prevent Nine from streaming content on its 9Now AVOD player.

Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at

Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.

Read more about these related brands, agencies and people

comments powered by Disqus