ARN acquisition of Southern Cross Austereo (pending approval)

I suspect AFR dont want to make the claim directly, but it would make a lot of sense if it was Anchorage

Imagine if ACP offload to BOG ahha… or SEN!!

*note the sarcasm

Interesting senario for Hobart and Tasmania more generally.

Will we see SCA7 sold to SWM??

Hobarts number 1 station potentially rebranded to Gold and then offloaded to Anchorage?

The northern Chilli/Sea Network and LAFM/7SD/7AD/7BU and 7XS moved to a Hit and triple M network…

Plus there’s the unloved child of WIN and SCA, I wonder who gets the 50% of Tas Digital Television…

Could ACM purchase assets without breaking the ownership rules, considering they own 2 of the 3 daily newspapers in Tasmania?

Interesting times ahead.

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Some other aspects probably unique to Hobart is the combined 7Tas/10 Noodle studio along with Hit/Triple M and the combined sales team. We currently buy an annual advertising package on 7Tas plus Hit and/or Triple M. Should ARN keep their #1 station in 7HOFM one would think they would just relocate the Triple M studio and Hit + TV remains at Melville St. If 7HO + TV ends up with ACP the situation looks messier. Either way it must be a very unsure time for both on and off air.

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Must be instos/large parcels. No one asked me with my thousand or so. :woozy_face:

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It will be those with large holdings, 76% of SCA is held by 112 shareholders and 51% between 5 substantial holders (including ARN)

If Anchorage are able to secure any of these it starts to tip the possibility of the deal getting up in their favour as long as they’re able to get it to shareholder vote

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ACP may view buying the regional TV licences as a prelude to buying a metro TV assets and then relisting. However it’s a curve of diminishing returns for TV.

Perhaps I misinterpreted the M&A info, ARN are keen to acquire as many regional radio assets as possible in all three scenarios:

From zero to two stations in a market

From one to two stations in a market

From underperforming duo to leading duo in market (eg. Rockhampton/Gladstone).

If you add stations via this process, the 88 regional stations mentioned is reached.

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Sarcasm noted, however if Caralis bought the ACP regionals, it may result in more local content and better outcome for clients.

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I somehow doubt he’d have the capital for more than maybe a small handful of stations.

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Is the 2 station rule changing? I remembered hearing somewhere early last year that there was talks of changing the 2 station rule. I think it was to a 4 station rule from memory.

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How will that work? Monopolies in regional markets and FM monopolies in Bri/Per/Ade would be a disaster IMO.

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what if ACP offloads to Nova Ent? Could mean a once in a lifetime chance to get Smooth in all markets on FM…

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That would be a great outcome.

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I’d like to see Rhys & others (whoever owns SeaFM & MixFM Sunshine Coast) to invest in some metro stations. They seem to understand the importance of localism.

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The only problem is that GSL Media Group wouldn’t be able to acquire a Brisbane station, due to the Nambour licence area having a 30%+ overlap. This was part of the reason on why they wouldn’t have been able to acquire 4KQ when it was up for sale.

For all other metro markets, plus some selected regional markets though, that’s a different story.

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That’s exactly the case in Melbourne for example, which frequencies are available for any additional stations? The FM band is completely full.

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They would sell the Sunshine Coast stations to buy the Brisbane licences.

Our adjacent metro licensees would be far more diverse if the 30% overlap of Nambour/Brisbane happened in other markets such as Gold Coast, Central Coast, Wollongong, Geelong, Warragul, Murray Bridge and Mandurah.

Nambour licensees have at many times over the years submitted to ACMA to excise the overlap (former Caboolture Shire area), I disagree with excising as businesses deserve radio advertising without paying for the higher Brisbane cost of advertising and to an area much larger than what clients could probably service.

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Because I have too much time on my hands, I created the attached. I did it in Excel, but couldn’t upload that here. I didn’t include the JVs with Nova Entertainment, only the ARN/SCA JV in Canberra, as that’s affected.

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So in Bendigo, Mildura, Hobart, Bundaberg and the Gold Coast, they are one station over the limit.

In Mackay, Rockhampton, Cairns and Townsville, they are two stations over the limit.

Apart from Townsville, there’s an AM station that nu-ARN would likely get rid of.

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They can swap to the more profitable two stations in these markets.

Bendigo from one AM to two FM, same in Mildura.

Hobart from one FM to two FM and perhaps 107.3 again left to clunk along as the third wheel.

Bundaberg, they may wish to swap out 4BU for 93.1 rather than wait for conversion down the track.

The Gold Coast is a fascinating choice as Hot Tomato has made its success sitting between Sea & Gold, so now to reshape the dynamic will be interesting.

Rockhampton, they can swap from two AM to two FM.

Mackay, a swap from 1 AM/FM by either retaining Star or straight swap to the SCA duo. Same in Cairns.

Townsville, all on FM, could swap from the two ā€˜new’ stations to the two originals, originally 4TO/Hot. Without market stalwart Steve Price and lacking a Townsville produced music log, will it matter? Townsville will be very different.

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