APN News & Media shareholders vote to demerge NZ assets
APN News & Media shareholders have voted through a demerger of its New Zealand assets, which will see NZME spun off as a separate business as early as next week.
The move is part of the company’s strategy to focus on its core outdoor and radio businesses Adshel and Australian Radio Network, as it also seeks to sell off the Regional Media newspaper division.
Its assets in New Zealand include the New Zealand Herald and 29 other daily and non-daily newspapers and websites and The Radio Network which includes the Newstalk ZB and Coast radio stations.
In the new scheme APN shareholders will also see their shares consolidated on a seven for one basis, and they will also be given equal amounts of shares in the spun off NZME business. At this morning’s meeting 99.98% of shareholders voted in favour of the move.
The company decided not to push ahead with a separate stock market float of NZME in February declaring the ad market is “not currently conducive” for it.
In his address to shareholders APN CEO Ciaran Davis listed a number of achievements for NZME’s assets over the last 12 months, saying they demonstrate “that NZME is well-placed to continue to operate and thrive independently from APN”.
He added: “With increased flexibility and a focus on growth assets, APN can explore and invest in further growth opportunities, as we have done with content marketing company Emotive and iHeartRadio. This will ensure continued value for our shareholders.”
