Lachlan Murdoch takes 50% stake in DMG Radio
Lachlan Murdoch’s private investment company Illyria is acquiring a 50 per cent stake in DMG Radio Australia, in a deal that will also see him become chairman of the joint venture.
DMG Radio, which is owned by the Daily Mail and General Trust, holds nine radio licences, including the Nova network which has stations in Sydney, Melbourne, Brisbane, Adelaide and Perth; and the older-skewed Vega FM stations in Sydney and Melbourne.
Murdoch said: “Patience is a virtue, and after exhaustively searching the market for the right acquisition, we have found in DMG Radio Australia the right business, the right partner and the right brands which are positioned for exemplary growth.
“The skills we have in-house at Illyria will complement the strengths of DMG Radio Australia.”
Murdoch set up Illyria in 2005. His other media investments include a stake in regional broadcaster Prime Media.
Tim Burrowes founded Mumbrella in 2008. He worked on Mumbrella until 2021. At various points he was editor, content director and editor-at-large.
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Good luck with that.
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Merrick & Lachy?
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wow, will this be another One.Tel?
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would love to have been a fly on the wall as they pitched this and the future growth opportunities, especially around digital, to him
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Interesting choice.
DMG have some interesting activity in the streaming audio and social media space.
Keen to see what comes next.
It also puts Austereo on notice.
I wonder if DMG is viewed as a music asset to improve News’ content offering and sweeten a paid content move?
DMG certainly dovetails beautifully with MySpace Music.
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@epiphany Last I heard Lachy wasn’t involved with News anymore, and Illyria is an investment vehicle. Is there something else you know?
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epiphany you have some interesting thoughts.
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This could have some long term implications for Austereo, especially considering Lachlan’s potential move back to News Ltd. If this happens then DMG radio will have access to content / partnerships on Foxtel, News Ltd papers, online which totally negates Austereo’s involvement with Fairfax
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He’s got a real history of adding value to acquisitions hasn’t he…I have this vision of Board Meetings being a bit like the Jodee Rich case:
What are our strategic imperatives for this year?
‘I refuse to answer that question, I don’t recall, and I just plain don’t know’
Should be interesting – maybe Rosso could do an Eddie everywhere and become the new CEO 🙂
Oh, and it dovetails beautifully with MySpace in profit terms….neither of them make any money
Does it say anywhere how much he’s paying?
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Usually these deals are for 49% or takeovers – there’s something brewing long term. I wonder if Lachy made noises to Daddy’s mate the good Doctor in Ireland to no avail, so he settles for DMG instead?
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@matt: B&T reckon $110m.
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@matt: only 4 times what he paid for his new mansion in Belvue Hill. Think I know which I’d prefer.
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