Macquarie Media has suspended plans to launch a network of sports radio stations across Australia’s east coast, pending a review.
In a statement, Russell Tate, Chairman of Macquarie Media Limited, said “Macquarie Media Limited has announced that development of its Macquarie Sports Radio stations in Sydney, Melbourne and Brisbane will be paused and reviewed over the summer months and that the current schedule of sport talk programs will cease as of 11pm, Friday 1 November.
“Over the coming months, Macquarie Sports Radio will continue live sport broadcasts including all scheduled Test Match, BBL, One-Day Internationals & International T20 Cricket matches as well as its English Premier League coverage. The stations will draw an increased amount of content from local and international partners, including Macquarie Media’s News Talk stations and Nine, and will continue to access Macquarie National News services for constantly updated sporting news.”
In August 2019, Nine Entertainment Co. announced to the ASX an offer to acquire the remaining shares in Macquarie Media, in which it inherited a majority shareholding following its merger with Fairfax Media in December 2018.
The offer values Macquarie Media at AUD$275.4 million and sees Nine paying $113.9 million for the remaining 45.5 per cent stake in the leading talk-radio business, which owns stations 2GB, 3AW, 4BC, 6PR and Macquarie Sports Radio.
The acquisition will be 100 per cent financed from cash reserves and existing debt facilities and is expected to see synergies of more than $10 million, mainly from combining support and administrative functions, and taking out some corporate costs such as ASX listing fees. The transaction is due to complete towards the end of 2019.