ACMA objections to potential buyers of Macquarie Media’s 2CH blows out deadline
Macquarie Media has failed to find an appropriate buyer for 2CH by its September 30 deadline with a divestiture agent now being appointed to effect the sale.
The rebranded Magic 2CH logo.
Macquarie Media is required to sell the station following its merger last year with Fairfax Radio, which put the station in breach of media ownership laws which impose a ‘two-to-a-market’ limit for commercial radio licences in the Sydney licence area. The broadcaster currently owns the licences for 2GB, 2UE and 2CH in Sydney.
The Australian Media and Communications Authority (ACMA) had approved “temporary breaches” until March 30 before granting a six-month extension to September 30 for the company to find a buyer for the station.
A statement posted to the ASX today confirmed Macquarie Media had not sold 2CH “within the timeframe allowed by its enforceable undertaking given to the ACMA in January 2015 (as varied) after the ACMA objected to the terms of two separate proposed purchaser notices submitted by Macquarie Media prior to the required date of divestiture, 30 September 2016”.
Vaugan Stawbridge of Deloitte will shortly be appointed as a divestiture agent to effect the sale.
Macquarie Media executive chairman Russell Tate said: “We remain confident of selling 2CH, consistent with our prior disclosed expectations and our obligations under the enforceable undertaking. Interested parties should contact Mr Strawbridge of Deloitte directly to engage in the sale process.”
The radio broadcaster had been actively looking for a buyer for the station, with the likes of Grant Broadcasters/Capital Radio, a NSW clubs player and the NSW Council of Churches (NCC) all rumoured to have expressed an interest in buying the station.
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