Looks like it’s begun
Report suggests that shareholders representing 25% of SCAs register are pushing for change after poor results and the progress on the ARN offer
(This 25% excludes ARNs share, you’d think they’ll support any push for an extraordinary meeting)
From mediaweek:
SCA is big on local, both in metro and regional. Kelly indicated networking might take costs out, but there are challenges. “Our model is local announcers in local markets.”
… They forgot to add on the end.. “for as little as possible”.
Once a “jock” becomes a “personality” that equals $$$ demands that are best avoided the “suits” feel 
But there are local “announcers” 9-12 in markets 
Just no local “breakfast teams”.
I hate to do this but they aren’t wrong.
Announcers and breakfast hosts are different roles. Announcers mainly just back announce music whereas as breakfast presenters are there for much more.
So that quote is technically correct.
You need personality in more than just breakfast when facing Norrman the Computer on Pandora, Spotify etc. And to fight Norman, you need to be more like Don Lunn and less Kyle Sandilands.
I’ll always remember good advice from a old-schooler now long gone – relate to your audience so well, And, man, have wit! , and – be tight talking up a song. Don’t talk and talk – and say nothing.
According to Monday’s AFR, Barrenjoey’s George Kanaan was calling on major shareholders (Spheria, Ubique & Allan Gray) late last week to buy a big stake on SCA for Antony Catalano, but none of them were motivated enough to sell.
Sadly that style of radio is long gone and is now the domain of vintage airchecks. I do school myself on those to improve my own announcing. Mindless dribble is- unfortunately- today’s stock and trade.
SCA board rejects ARN’s bid
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02782126-3A638325
Probably not all that surprising - I suspect they’ll be revisiting it fairly soon though
Not surprised, as I said before, SCA board trying to keep their jobs. Considering the biggest SCA shareholders have lost confidence in the board, they’ll probably be ousted soon & the takeover approved.
Now it’s up to ARN to make a higher offer to entice the SCA board to sell.
Disagree, time to squeeze SXL and get a vote on to oust board members. Every month that passes, the lower SCA’s value becomes.
Thanks for your thoughts Ciaran.
The main reason given was that the numbers weren’t right, which I’d agree with as they were 5 months old. SCA’s share price has gone up a fair bit since then, arguably because of the potential of the buy out, so it will be interesting to see where the share price goes in the next few days. Interestingly it’s currently up to 1.5% today.
They may choose to do this, but I think that the bid rejection is going to be the final straw for a number of their institutional investors who haven’t been happy with SCA’s performance for some time.
The continued speculation about alternate options (and the attempt to halt ARN’s move) has helped maintain it high. There has been some thinking that SCA has been undervalued for some time too (the results might not coalese with this though)
I’m not sure whether a board takeover will happen. Sure, the big three are agitating for a buy out, but SCA has had arguably the least worst results for Australian media companies this half - just look at how much of a hit ARN and SWM took.
Of course it’s a forgone conclusion that if they do roll the SXL board, bye bye SCA.
i hope this time the merger happens with ARN cherrypicking the metro SCA stations from both networks instead of just taking Triple M and dumping Pure Gold - because the original merger idea would’ve meant ARN Melbourne being screwed over with two low rating stations
I wonder if rather than trying to spill the board, there is an attempt to get the board to put the ARN proposal to shareholders (initially, and then if it fails push for a spill)