MEDIABLAB DAILY DIGEST JAN 22: PACKER MURDOCH SONS HUNTER S THOMPSON GEO TV ZIMBABWE MEDIA
January 22nd 2008 11:59
A compilation of MediaBlab Items published over the last 24 hours
THE ONLY BEATING UP AT MIA FARROW’S CAMBODIAN PROTEST WAS DONE BY REUTERS SAYS BLOGGER
Phnom Penh-based blog, Monivong Boulevard, comments on how the media portrayed the Mia Farrow Cambodian Darfur protest, and how the media behaved while gathering the story.
Monivong Boulevard said the Reuters report was a “bit dramatic.”
Reuters reported, “Some 100 baton-wielding police blocked Farrow, who fronts the Dream for Darfur pressure group, and her fellow activists from entering the compound at Tuol Sleng, the Phnom Penh high school that became Pol Pot's main torture centre.”
But Monivong Boulevard reports, “The only baton wielding that I saw was by some half dozen blue uniformed traffic police guys who were directing traffic, and getting the journos and photogs to move their parked motos from the barricades.
“I was no more than a meter away from Farrow and company, and no time did I see any batons used at the group by the military police and the municipal cops. There was some pushing and shoving and some angry words exchanged. But that was it. Maybe there were batons wielded, but from my vantage point I couldn't see any.”
Monivong Boulevard then pointed out that Deutsche Presse-Agentur (DPA) saw it slightly differently to Reuters, reporting, “In the end, however, it was an anticlimax, with Farrow and friend Seng Theary, director of her Cambodian partner agency Centre for Social Development, forced to stand forlornly on the wrong side of the barrier holding wilting white water lilies in scorching heat for an hour in a 70-strong crowd before giving up.
“Farrow said little, letting the outspoken young US-Khmer rights activist Seng do all the talking as they pleaded fruitlessly for entry. But the pair suffered more jostling from journalists, who appeared to outnumber Dreamers, than they did from police.
“Some Farrow supporters tried to threaten police with US embassy intervention, but were rebuffed. Phnom Penh security chief Police General Hy Pru turned up to supervise, and the rally ended quietly. Police said there were no arrests.”
Monivong Boulevard said the DPA observations about journalists were correct: “It was crazy out there, like a rugby maul, with lots of pushing and shoving and elbows flying. For a moment, I thought Mia and Theary Seng were going to get hurt, and not by the cops.
“People like to criticise the Khmer press for their unruly behaviour at these things, but some of the foreign journos and photogs who were there were even worse. Their behaviour this morning made their Khmer journalistic brethren look like complete gentlemen. Wankers.”
SONS-OF-MURDOCH-PACKER DEAL: AUSTRALIAN MEDIA SECTOR SNAPPED OUT OF HOLIDAY TORPOR BY HISTORICAL ANNOUNCEMENT
The Australian media sector was shaken out of its long Christmas holiday slumber early yesterday afternoon when Rupert Murdoch’s flagship newspaper The Australian announced on its website that the sons of Australia’s two most powerful tycoons, James Packer son of the late Kerry Packer and Lachlan Murdoch, son of Rupert, were proposing a deal to buy/sell Australia’s largest media company, Consolidated Press Holdings.
Today the news dominates major Australian papers and has also been widely published internationally.
The Australian reports today that, “Lachlan Murdoch is set to make a dramatic return to the Australian media sector as part of a $3.3 billion joint deal with James Packer to privatise Consolidated Media Holdings, signalling a new high in relations between the Packer and Murdoch families.
“The proposal - exclusively revealed on www.theaustralian.com.au early yesterday afternoon - heralds a shake-up of the media landscape. The deal involves a consortium headed by Mr Murdoch's private company, Illyria, joining forces with the Packer family's main investment vehicle, Consolidated Press Holdings.
“If it is approved, Mr Murdoch will become the newly privatised vehicle's executive chairman.
“This means he will oversee some of Australia's premium media assets that Consolidated Media Holdings currently has stakes in, including Foxtel, Fox Sports and PBL Media (which owns the one-time Packer family Nine Network and ACP Magazines, among other assets).
“In an interview with The Australian last night, Mr Murdoch, the eldest son of Rupert Murdoch, chairman of News Corporation, owner of The Australian, said the planned deal was entirely his own: ‘This is completely my own transaction. This is nothing to do with News Limited, or for that matter, News Corporation.’”
SONS-OF-MURDOCH-PACKER DEAL: CONSOLIDATED PRESS’S OFFICIAL ASX STATEMENT
Consolidated Media Holdings yesterday informed the Australian Securities Exchange about the Packer-Murdoch deal 45 minutes before close of trading.
Here is a slightly edited version of the official statement:
Consolidated Media Holdings Ltd said it received a non-binding indicative proposal yesterday from its major shareholder Consolidated Press Holdings Ltd and from Lachlan Murdoch’s private company, Illyria Pty Ltd, to acquire 100 percent of the company.
The proposal, initiated by Illyria, involves Illyria and its equity partners forming a 50/50
joint venture with Conspress to acquire all of the shares in Consolidated media and the consortium has requested that the proposal be implemented through a scheme of arrangement in Consolidated Media.
Although Conspress has advised that it has given its support to the proposal, Consolidated Media has been advised that Conspress has not yet reached final agreement with Illyria to the terms of the consortium.
Under the proposal, the consortium states that:
“The consideration per share would be provided as follows:
• A fixed cash amount of $4.06; and
• A variable cash amount which will be equivalent to the VWAP of Seek shares determined over the 5 days up to and including the date when CMH shareholders meet to approve the scheme. The CMH shareholders will not receive the variable cash amount for their shares; rather it will be applied as the purchase price for 0.1116 Seek shares that will be transferred to them under the scheme of arrangement for each CMH share they hold.
Based (on) the closing price of Seek shares on 18 January, the Indicative
Proposal implies consideration of $4.80 for each CMH share.”
The consortium has also stated that this is the final price for the joint venture proposal and that it will be adjusted to take account of any pre-completion dividends or distributions.
The proposal also includes a facility under which Consolidated Media shareholders would be able to elect to receive a greater proportion of their consideration in cash or SEEK shares.
The actual mix for those shareholders who make such an election would depend on the elections of all shareholders as the total SEEK share consideration will be fixed at 76,968,490 SEEK shares and the total of the fixed cash component of the consideration will be fixed at $2.8 billion.
The Proposal is indicative only.
Although the proposal is highly conditional, the Consolidated Media considers that, as it involves Conspress (its major shareholder), early disclosure to ASX of the approach is warranted in the interests of good corporate governance and to keep the market and its shareholders informed.
Conspress has advised Consolidated Media that it will seek to agree the terms of the arrangements with Illyria as soon as practicable. In that context, Conspress has indicated that it will seek to obtain relief from ASIC on acceptable terms to allow the joint bid to proceed without a condition requiring Conspress to dispose of its Consolidated Media shares in the event of an unmatched higher offer from a third party.
The Consolidated Media board met yesterday to commence consideration of the proposal. The Conspress nominees on the board of Consolidated Media, James Packer (executive deputy chair), Ashok Jacob and Michael Johnston have declared their interests and have stepped aside from the board’s consideration of the proposal. Further, until the proposal has been fully considered, James Packer has relinquished the deputy chairman position and Richard Turner has been appointed in his place.
To assist in the evaluation of the Proposal on behalf of Consolidated Media shareholders, a subcommittee of the independent members of the board has been established. It will be chaired by r Richard Turner and its other members are Chris Corrigan and Geoff Dixon.
UBS has been appointed financial adviser to Consolidated Media and Minter Ellison as legal adviser to advise the sub-committee in evaluating the proposal.
SONS-OF-MURDOCH-PACKER DEAL: CONSOLIDATED MEDIA DEAL IS…..BUSINESS SPECTATOR NOT QUITE SURE
Australia’s Business Spectator was so excited yesterday over breaking news of the Packer-Murdoch deal that it ran a story without mentioning actual details of the deal.
During the day it duly reported that trading in the shares of Consolidated Media Holdings Ltd will be halted pending an announcement from the company, according to the Australian Securities Exchange.
No further details were available.
Consolidated Holdings is one of the companies formed from the split of former gaming and media firm Publishing & Broadcasting Ltd.
Business Spectator then reported, “Media industry veteran and advertising guru Harold Mitchell said the deal would be a clever move.”
But there was no mention of exactly what deal Mitchell or Business Spectator was on about.
The Business Spectator item then continued, “This is a very clever move to take advantage of a variable stock market valuation of some valuable assets,’ said Mr Mitchell, who is executive chair of Mitchell Communications Group.
"’Mr Packer and Mr Murdoch know this business backwards and would know the real value.
"’They are strong businesses operating in a market that continues to grow in excess of seven per cent with no current sign of stopping.’
“Mr Mitchell said Mr Murdoch and Mr Packer would work well together.
“A media analyst, who wished to remain anonymous, also said the deal made sense.”
Again Business Spectator failed to explain what deal it was talking about, and continued with the quote from the media analyst, “The deal makes sense because ultimately there's only really a few players who can be involved in any deal like this ... Mr Packer, News Corp in some form and Telstra, because they're the three owners of Foxtel.’”
But this news, tacked onto the end of the Business Spectator article, may have given readers a clue as to what the online news service was actually talking about?
“Separately, speculation is mounting that the company's executive chairman James Packer will form a partnership with former News Corporation executive Lachlan Murdoch to privatise Consolidated Media Holdings, The Australian reports.
“Both Mr Packer and Mr Murdoch were unavailable to comment on the market talk, according to the paper.
“Previously, Mr Murdoch and Mr Packer joined forces in the ill-fated One.Tel, providing financial backing and sitting as board members on the now defunct mobile phone company.
“Consolidated Media owns 25 per cent of the assets previously owned by PBL's media business, including the Nine television network and a number of magazine titles. It also holds a 25 per cent stake in pay-TV provider Foxtel, 27 per cent of employment website Seek and 50 per cent of pay-TV sports programmer Premier media.”
SONS-OF-MURDOCH-PACKER DEAL: NEGOTIATIONS DONE ON A WET WEEKEND OVER SANDWICHES
This is how The Australian today colourfully reports how the historic sons-Packer-and-Murdoch deal came about.
The paper says, “As Sydneysiders tried to avoid being drenched in the wet weekend that had just passed, two men spent Saturday and Sunday in a nondescript building in the inner city suburb of Surry Hills.
“One was Lachlan Murdoch, the other James Packer, and by the end of the weekend they had done a deal worth $3.3 billion to carve up a significant chunk of the Australian media.
“They spent Saturday and Sunday in Murdoch's office in Surry Hills, Packer and his advisers with Murdoch and his. A constant stream of sandwiches, bottles of water and cups of coffee came through the door.
“The deal was only finally clinched about 10pm on Sunday.
“…The idea first came into the mind of 36-year-old Murdoch as he watched before Christmas the demerger of his friend Packer's Publishing & Broadcasting Ltd. PBL was broken up with Packer, 40, divesting himself of 75 percent of his media assets, the centrepiece of which had been the Nine Network. He kept only 25 percent and sold the rest to private equity group CVC.
“Murdoch's Illyria company had been looking for places to invest for the past two years. He liked the old PBL assets because, he says, they did not compete with News, the company started and run by his father, Rupert.
“Just before Christmas, as the demerger was in the headlines and being formally approved by shareholders, Lachlan Murdoch sounded out Packer and found he did not rule out doing some sort of deal for the remaining 25 per cent. Murdoch then set about seeking funding.”
MEDIABLAB EDITOR’S 19766 HUNTER S THOMPSON INTERVIEW INCLUDED IN NEW BOOK BY THE AUTHOR’S WIDOW
An interview with Hunter S Thompson by MediaBlab editor Peter Olszewski that appeared in Melbourne-based Loose Licks magazine in August 1976 has been selected to appear in a comprehensive collection of Hunter S. Thompson's interviews.
The book is being compiled by Thompson’s widow Anita who told MediaBlab she selected the Loose Licks interview because it is “very funny.” She added that the book is “turning into a gorgeous manuscript.”
Loose Licks was published as a freesheet quarterly in Melbourne in 1976 by Peter Olszewski and rock promoter Michael Roberts.
The publication was originally Melbourne-only, but Horan, Wall and Walker contracted to publish a Sydney edition. The driving force behind Horan, Wall and Walker, Stephen Wall, originally began providing entertainment news and guides to the Richard Walsh-run Nation Review and its sister paper, Richard Neville’s Living Daylights before spinning the enterprise into a company that provided similar services for many major publications.
READERS DIGEST TO LAUNCH BEST HEALTH IN CANADA
Media in Canada reports that Montreal-based Reader's Digest Magazines Canada plans to introduce a new magazine titled Best Health in March. Aimed at women 35-55, it will launch with a print run of 100,000 copies and publish six issues per year.
"We're very excited about the response we've had in the marketplace from advertisers, newsstand chains, both retailers and wholesalers, and consumers," Larry Thomas, publisher, Readers Digest magazines, told Media in Canada.
Thomas predicts that the new magazine will do well, even in its extremely crowded market sector. "Obviously, there's a competitive environment out there. But we think there is a strong interest in this particular subject, and that [advertisers] are interested in being in the environment we're going to offer."
What Thomas calls "the four main pillars" of the new publication will be: "beauty, food/nutrition, health and overall well being/relationships - all in the context of healthy lifestyles."
While no online version of Best Health is planned, a supportive website - www.besthealthmag.ca - will go live on March 15.
ICELAND’S DAILY NEWSPAPER DV TO CATER FOR POLISH EXPATS WITH ONLINE NEWS SERVICE
Iceland Review Online reports that Iceland’s Minister of Social Affairs Johanna Sigurdardottir formally opened a Polish news website yesterday as a subsection of dv.is, the news website for Icelandic daily newspaper DV. All the main stories from DV will be translated to Polish.
According to a press release, editor of DV Thorarinn Thorarinsson said the news website is meant to provide service for the Polish community in Iceland. “Easy access to the main news stories from the Icelandic society strengthens the position of those who are trying to gain footing in a foreign community, foreign because of language barriers.”
At first the main emphasis will be on Icelandic news stories, but the website can also be used to to inform Polish citizens living in Iceland, and the main news stories from Poland can also be included. Wieslawa Vera Lupinska will translate news from DV on a daily basis.
“This is certainly a much-needed initiative,” said Helga Olafs, information officer of Althjodahus, the intercultural center in Reykjavik. “Immigrants have increased steadily and now account for about seven percent of the Icelandic nation. Poles make up the largest community within that group, almost one third of it.”
ARTIST & ENTERTAINMENT GROUP BUYS AUSTRALIAN COLLEGE OF ENTERTAINMENT
Artist & Entertainment Group has acquired the Australian College of Entertainment in Sydney for a total of $270,000 by way of a 100 percent vendor debt facility payable by June 30 2009.
Australian College of Entertainment has been in operation for 19 years, established as a leading performing arts educator in Sydney’s North West region. The school has 200 students generating in excess of $2,400 average revenue per member per annum. The school provides a comprehensive curriculum in dance, acting, and music with programs ranging from $800 per annum to $4,800 per annum.
The purchase follows Artist & Entertainment Group’s agreement to purchase leading performing arts school, Brent Street, in the late 2007.
ACE represents the group’s launch of its small scale acquisitions program whereby smaller schools of between 100 – 500 students are acquired and fully integrated into the Brightstars/ Artist & Entertainment Group operations leveraging off Artist & Entertainment Group’s programs, management and systems.
In addition to the acquisition of Australian College of Entertainment, the company has appointed Glenn Stapleton O’Rourke to head its small scale acquisitions program, overseeing the acquisition and integration of potentially hundreds of small performing arts schools Australia wide.
Stapleton O’Rourke successfully founded and managed the Australian College of Entertainment school and has previously worked in the television and production industries since 1978.
ZIMBABWE MEDIA LAWS INTRODUCED PRIOR TO MARCH ELECTIONS
ZeeNews reports that President Robert Mugabe has signed changes to Zimbabwe's media laws, which hopefully will end that country’s notoriously restrictive media controls.
The government controlled Herald newspaper reported that the new laws had been negotiated with the opposition late last year to come into effect before the March presidential and parliamentary elections.
The amendments negotiated in South Africa-mediated talks between the ruling party and opposition were rushed through Parliament at the end of 2007.
The opposition has given a muted welcome to the amendments.
The new law, which takes immediate effect, creates the Zimbabwe Media Commission.
Earlier last week the state media regulator Media and Information Commission asked the banned newspaper The Daily News to reapply for state registration. The Daily News was banned in 2003, when it had been Zimbabwe’s most widely circulated newspaper.
The Access to Information and Protection of Privacy Act signed into law by Mugabe in 2004 and enforced by the Media and Information Commission made practicing journalism without a license a crime. All journalists, Zimbabwean and foreign, and all media organizations had to obtain official accreditation, and many western news organisations, including the BBC, have been effectively prevented from working in Zimbabwe.
INDIAN COMPANY TO LAUNCH FILM MAGAZINE IN GERMANY
Here’s a turn up for the books. In recent months, international publishers have been rushing to gain a foothold in India’s boom print business.
But now an Indian company is launching a publication in Europe.
Agencyfaqs reports that Worldwide Media’s publication, Filmfare, will launch its German edition in February. The German edition of the magazine will be monthly and published in German, and the publisher expects a circulation of at least 15,000 copies every month in Germany. The content of the German edition will be exactly the same as in India.
Harjeet Chhabra, Worldwide Media’s general manager of marketing, told agencyfaqs, “There is a growing presence of Indian films and Indian stars in countries such as Germany, France, Holland, the US and the UK. Popularity is high, especially in Germany, France and Holland. Stars such as Shah Rukh Khan, Karan Johar and John Abraham are exceptionally popular. We are starting with Germany for our first international issue and if it’s successful, we might expand to more countries. Filmfare is likely to attract a host of local advertisers in Germany once the magazine is launched there.”
Filmfare magazine went fortnightly in India on January 9, and claims to have increased circulation by 20 per cent in the last couple of years.
The fortnightly format will allow Filmfare to offer its readers newsier, interactive content. A new section on movie reviews will be added to the format
ACP MAGAZINES GIVES NOD TO NEW EDITOR FOR AUSTRALIA’S BELLE MAGAZINE
ACP Magazines in Sydney said that Cerentha Harris will join Belle magazine as editor, reporting to editor-in-chief Neale Whitaker.
Harris has been an editor and journalist for more than 15 years, specialising in interiors, architecture and design. She started her career in New York on magazines including Martha Stewart Living before returning to Sydney where she worked on The Sydney Morning Herald for 10 years, most recently as editor of its weekly Domain section and as deputy editor of The (Sydney) Magazine.
The appointment of an editor returns the structure of Belle’s editorial team to the previous level.
Editor-in-chief Neale Whitaker said, “Cerentha’s appointment will add an important new dimension to Belle.
“Her knowledge and experience of the design industry in Australia and overseas is second to none and will further consolidate the magazine’s profile and integrity.”
LOS ANGELES TIMES FIRES ANOTHER EDITOR OVER BUDGET BLUE
The Wall Street Journal reports that Los Angeles Times editor James O'Shea was fired just 14 months after he assumed the post, over a budgetary disagreement with publisher David Hiller, “according to a person familiar with the situation.”
The Wall Street Journal said O'Shea had opposed making budget cuts demanded by Hiller that could have led to staffing reductions and affected the paper's ability to cover this year's election campaign and the Beijing Olympics, the person said.
O'Shea's exit comes little more than a month after the Times' parent company Tribune Co was taken private in a US$8.2 billion buyout. Chicago real estate magnate Sam Zell won effective control in the buyout and became chairman and ceo of Tribune.
O'Shea, who had been editor of the LA Times since November 2006, is the third successive editor of the paper to leave over budgetary issues. His predecessor, Dean Baquet, was ousted rather than make cuts requested by Tribune's then management. In July 2005, John Carroll had quit under similar circumstances.
Before joining the LA Times, O'Shea was a managing editor of the Chicago Tribune.
PAKISTAN CONDITIONALLY LIFTS BAN ON GEO NEWS TV CHANNEL
Reporters Without Borders said it hails the lifting of a government ban on cable TV distribution of the privately-owned TV channel Geo News but deplores the fact that President Pervez Musharraf made it conditional on the suppression of some its programs.
"Geo News has made major contribution to improving Pakistanis' access to independent news since 2002 and should never have been banned," the press freedom organisation said. "The ban, which lasted more than 10 weeks, was aimed at silencing outspoken reporters and commentators and investigative reports that were often damning for the authorities
"It is regrettable that the government insisted on the withdrawal of certain programmes. This constitutes yet further evidence that censorship is unfortunately still the rule just a few weeks before the parliamentary elections scheduled for 18 February."
The Geo News ban was identified by Reporters Without Borders as one of the five key press freedom problems that need to be resolved before elections are held. The organisation also maintains that, despite government denials, the ordinances on the print and broadcast media impose censorship and should be repealed.
The amendments to the ordinances on the print media (RPPO 2002) and broadcast media (PEMRA 2002) enable the authorities to impose a three-year jail sentence on journalists who defame or mock the president.
Reporters Without Borders supports the "Free Media for Fair Pools" campaign organised by the Pakistan Federal Union of Journalists.
Geo TV's management confirmed to Reporters Without Borders today that President Musharraf gave permission on January 19 for Pakistani cable TV operators to resume distributing the news channel, Geo News, and its sister sports channel, Geo Super. Because of the Shiite festival of Muharram, Geo TV postponed the resumption of distribution until today.
The agreement between Geo TV's owners and the government is conditioned on the suppression of news programmes hosted by Dr Shahid Massod and Hamid Mir, two veteran journalists and commentators. They are allowed to continue working as journalists for the station, but cannot present their own programmes. The authorities also requested that columns by pro-government commentators should be published more often in The News and Jang, two newspapers owned by the Geo TV group.
All of the Geo TV stations, which were banned on 3 November, the day that a state of emergency was proclaimed, broadcast from Dubai.
Most of the other TV stations that were banned on 3 November resumed broadcasting after signing a code of conduct imposed by the government on 12 November.
THE ONLY BEATING UP AT MIA FARROW’S CAMBODIAN PROTEST WAS DONE BY REUTERS SAYS BLOGGER
Phnom Penh-based blog, Monivong Boulevard, comments on how the media portrayed the Mia Farrow Cambodian Darfur protest, and how the media behaved while gathering the story.
Monivong Boulevard said the Reuters report was a “bit dramatic.”
Reuters reported, “Some 100 baton-wielding police blocked Farrow, who fronts the Dream for Darfur pressure group, and her fellow activists from entering the compound at Tuol Sleng, the Phnom Penh high school that became Pol Pot's main torture centre.”
“I was no more than a meter away from Farrow and company, and no time did I see any batons used at the group by the military police and the municipal cops. There was some pushing and shoving and some angry words exchanged. But that was it. Maybe there were batons wielded, but from my vantage point I couldn't see any.”
Monivong Boulevard then pointed out that Deutsche Presse-Agentur (DPA) saw it slightly differently to Reuters, reporting, “In the end, however, it was an anticlimax, with Farrow and friend Seng Theary, director of her Cambodian partner agency Centre for Social Development, forced to stand forlornly on the wrong side of the barrier holding wilting white water lilies in scorching heat for an hour in a 70-strong crowd before giving up.
“Farrow said little, letting the outspoken young US-Khmer rights activist Seng do all the talking as they pleaded fruitlessly for entry. But the pair suffered more jostling from journalists, who appeared to outnumber Dreamers, than they did from police.
Monivong Boulevard said the DPA observations about journalists were correct: “It was crazy out there, like a rugby maul, with lots of pushing and shoving and elbows flying. For a moment, I thought Mia and Theary Seng were going to get hurt, and not by the cops.
“People like to criticise the Khmer press for their unruly behaviour at these things, but some of the foreign journos and photogs who were there were even worse. Their behaviour this morning made their Khmer journalistic brethren look like complete gentlemen. Wankers.”
SONS-OF-MURDOCH-PACKER DEAL: AUSTRALIAN MEDIA SECTOR SNAPPED OUT OF HOLIDAY TORPOR BY HISTORICAL ANNOUNCEMENT
The Australian media sector was shaken out of its long Christmas holiday slumber early yesterday afternoon when Rupert Murdoch’s flagship newspaper The Australian announced on its website that the sons of Australia’s two most powerful tycoons, James Packer son of the late Kerry Packer and Lachlan Murdoch, son of Rupert, were proposing a deal to buy/sell Australia’s largest media company, Consolidated Press Holdings.
Today the news dominates major Australian papers and has also been widely published internationally.
The Australian reports today that, “Lachlan Murdoch is set to make a dramatic return to the Australian media sector as part of a $3.3 billion joint deal with James Packer to privatise Consolidated Media Holdings, signalling a new high in relations between the Packer and Murdoch families.
“The proposal - exclusively revealed on www.theaustralian.com.au early yesterday afternoon - heralds a shake-up of the media landscape. The deal involves a consortium headed by Mr Murdoch's private company, Illyria, joining forces with the Packer family's main investment vehicle, Consolidated Press Holdings.
“If it is approved, Mr Murdoch will become the newly privatised vehicle's executive chairman.
“This means he will oversee some of Australia's premium media assets that Consolidated Media Holdings currently has stakes in, including Foxtel, Fox Sports and PBL Media (which owns the one-time Packer family Nine Network and ACP Magazines, among other assets).
“In an interview with The Australian last night, Mr Murdoch, the eldest son of Rupert Murdoch, chairman of News Corporation, owner of The Australian, said the planned deal was entirely his own: ‘This is completely my own transaction. This is nothing to do with News Limited, or for that matter, News Corporation.’”
SONS-OF-MURDOCH-PACKER DEAL: CONSOLIDATED PRESS’S OFFICIAL ASX STATEMENT
Consolidated Media Holdings yesterday informed the Australian Securities Exchange about the Packer-Murdoch deal 45 minutes before close of trading.
Here is a slightly edited version of the official statement:
Consolidated Media Holdings Ltd said it received a non-binding indicative proposal yesterday from its major shareholder Consolidated Press Holdings Ltd and from Lachlan Murdoch’s private company, Illyria Pty Ltd, to acquire 100 percent of the company.
The proposal, initiated by Illyria, involves Illyria and its equity partners forming a 50/50
joint venture with Conspress to acquire all of the shares in Consolidated media and the consortium has requested that the proposal be implemented through a scheme of arrangement in Consolidated Media.
Although Conspress has advised that it has given its support to the proposal, Consolidated Media has been advised that Conspress has not yet reached final agreement with Illyria to the terms of the consortium.
Under the proposal, the consortium states that:
“The consideration per share would be provided as follows:
• A fixed cash amount of $4.06; and
• A variable cash amount which will be equivalent to the VWAP of Seek shares determined over the 5 days up to and including the date when CMH shareholders meet to approve the scheme. The CMH shareholders will not receive the variable cash amount for their shares; rather it will be applied as the purchase price for 0.1116 Seek shares that will be transferred to them under the scheme of arrangement for each CMH share they hold.
Based (on) the closing price of Seek shares on 18 January, the Indicative
Proposal implies consideration of $4.80 for each CMH share.”
The consortium has also stated that this is the final price for the joint venture proposal and that it will be adjusted to take account of any pre-completion dividends or distributions.
The proposal also includes a facility under which Consolidated Media shareholders would be able to elect to receive a greater proportion of their consideration in cash or SEEK shares.
The actual mix for those shareholders who make such an election would depend on the elections of all shareholders as the total SEEK share consideration will be fixed at 76,968,490 SEEK shares and the total of the fixed cash component of the consideration will be fixed at $2.8 billion.
The Proposal is indicative only.
Although the proposal is highly conditional, the Consolidated Media considers that, as it involves Conspress (its major shareholder), early disclosure to ASX of the approach is warranted in the interests of good corporate governance and to keep the market and its shareholders informed.
Conspress has advised Consolidated Media that it will seek to agree the terms of the arrangements with Illyria as soon as practicable. In that context, Conspress has indicated that it will seek to obtain relief from ASIC on acceptable terms to allow the joint bid to proceed without a condition requiring Conspress to dispose of its Consolidated Media shares in the event of an unmatched higher offer from a third party.
The Consolidated Media board met yesterday to commence consideration of the proposal. The Conspress nominees on the board of Consolidated Media, James Packer (executive deputy chair), Ashok Jacob and Michael Johnston have declared their interests and have stepped aside from the board’s consideration of the proposal. Further, until the proposal has been fully considered, James Packer has relinquished the deputy chairman position and Richard Turner has been appointed in his place.
To assist in the evaluation of the Proposal on behalf of Consolidated Media shareholders, a subcommittee of the independent members of the board has been established. It will be chaired by r Richard Turner and its other members are Chris Corrigan and Geoff Dixon.
UBS has been appointed financial adviser to Consolidated Media and Minter Ellison as legal adviser to advise the sub-committee in evaluating the proposal.
SONS-OF-MURDOCH-PACKER DEAL: CONSOLIDATED MEDIA DEAL IS…..BUSINESS SPECTATOR NOT QUITE SURE
Australia’s Business Spectator was so excited yesterday over breaking news of the Packer-Murdoch deal that it ran a story without mentioning actual details of the deal.
During the day it duly reported that trading in the shares of Consolidated Media Holdings Ltd will be halted pending an announcement from the company, according to the Australian Securities Exchange.
No further details were available.
Consolidated Holdings is one of the companies formed from the split of former gaming and media firm Publishing & Broadcasting Ltd.
Business Spectator then reported, “Media industry veteran and advertising guru Harold Mitchell said the deal would be a clever move.”
But there was no mention of exactly what deal Mitchell or Business Spectator was on about.
The Business Spectator item then continued, “This is a very clever move to take advantage of a variable stock market valuation of some valuable assets,’ said Mr Mitchell, who is executive chair of Mitchell Communications Group.
"’Mr Packer and Mr Murdoch know this business backwards and would know the real value.
"’They are strong businesses operating in a market that continues to grow in excess of seven per cent with no current sign of stopping.’
“Mr Mitchell said Mr Murdoch and Mr Packer would work well together.
“A media analyst, who wished to remain anonymous, also said the deal made sense.”
Again Business Spectator failed to explain what deal it was talking about, and continued with the quote from the media analyst, “The deal makes sense because ultimately there's only really a few players who can be involved in any deal like this ... Mr Packer, News Corp in some form and Telstra, because they're the three owners of Foxtel.’”
But this news, tacked onto the end of the Business Spectator article, may have given readers a clue as to what the online news service was actually talking about?
“Separately, speculation is mounting that the company's executive chairman James Packer will form a partnership with former News Corporation executive Lachlan Murdoch to privatise Consolidated Media Holdings, The Australian reports.
“Both Mr Packer and Mr Murdoch were unavailable to comment on the market talk, according to the paper.
“Previously, Mr Murdoch and Mr Packer joined forces in the ill-fated One.Tel, providing financial backing and sitting as board members on the now defunct mobile phone company.
“Consolidated Media owns 25 per cent of the assets previously owned by PBL's media business, including the Nine television network and a number of magazine titles. It also holds a 25 per cent stake in pay-TV provider Foxtel, 27 per cent of employment website Seek and 50 per cent of pay-TV sports programmer Premier media.”
SONS-OF-MURDOCH-PACKER DEAL: NEGOTIATIONS DONE ON A WET WEEKEND OVER SANDWICHES
This is how The Australian today colourfully reports how the historic sons-Packer-and-Murdoch deal came about.
The paper says, “As Sydneysiders tried to avoid being drenched in the wet weekend that had just passed, two men spent Saturday and Sunday in a nondescript building in the inner city suburb of Surry Hills.
“One was Lachlan Murdoch, the other James Packer, and by the end of the weekend they had done a deal worth $3.3 billion to carve up a significant chunk of the Australian media.
“They spent Saturday and Sunday in Murdoch's office in Surry Hills, Packer and his advisers with Murdoch and his. A constant stream of sandwiches, bottles of water and cups of coffee came through the door.
“The deal was only finally clinched about 10pm on Sunday.
“…The idea first came into the mind of 36-year-old Murdoch as he watched before Christmas the demerger of his friend Packer's Publishing & Broadcasting Ltd. PBL was broken up with Packer, 40, divesting himself of 75 percent of his media assets, the centrepiece of which had been the Nine Network. He kept only 25 percent and sold the rest to private equity group CVC.
“Murdoch's Illyria company had been looking for places to invest for the past two years. He liked the old PBL assets because, he says, they did not compete with News, the company started and run by his father, Rupert.
“Just before Christmas, as the demerger was in the headlines and being formally approved by shareholders, Lachlan Murdoch sounded out Packer and found he did not rule out doing some sort of deal for the remaining 25 per cent. Murdoch then set about seeking funding.”
MEDIABLAB EDITOR’S 19766 HUNTER S THOMPSON INTERVIEW INCLUDED IN NEW BOOK BY THE AUTHOR’S WIDOW
An interview with Hunter S Thompson by MediaBlab editor Peter Olszewski that appeared in Melbourne-based Loose Licks magazine in August 1976 has been selected to appear in a comprehensive collection of Hunter S. Thompson's interviews.
The book is being compiled by Thompson’s widow Anita who told MediaBlab she selected the Loose Licks interview because it is “very funny.” She added that the book is “turning into a gorgeous manuscript.”
Loose Licks was published as a freesheet quarterly in Melbourne in 1976 by Peter Olszewski and rock promoter Michael Roberts.
The publication was originally Melbourne-only, but Horan, Wall and Walker contracted to publish a Sydney edition. The driving force behind Horan, Wall and Walker, Stephen Wall, originally began providing entertainment news and guides to the Richard Walsh-run Nation Review and its sister paper, Richard Neville’s Living Daylights before spinning the enterprise into a company that provided similar services for many major publications.
READERS DIGEST TO LAUNCH BEST HEALTH IN CANADA
Media in Canada reports that Montreal-based Reader's Digest Magazines Canada plans to introduce a new magazine titled Best Health in March. Aimed at women 35-55, it will launch with a print run of 100,000 copies and publish six issues per year.
"We're very excited about the response we've had in the marketplace from advertisers, newsstand chains, both retailers and wholesalers, and consumers," Larry Thomas, publisher, Readers Digest magazines, told Media in Canada.
Thomas predicts that the new magazine will do well, even in its extremely crowded market sector. "Obviously, there's a competitive environment out there. But we think there is a strong interest in this particular subject, and that [advertisers] are interested in being in the environment we're going to offer."
What Thomas calls "the four main pillars" of the new publication will be: "beauty, food/nutrition, health and overall well being/relationships - all in the context of healthy lifestyles."
While no online version of Best Health is planned, a supportive website - www.besthealthmag.ca - will go live on March 15.
ICELAND’S DAILY NEWSPAPER DV TO CATER FOR POLISH EXPATS WITH ONLINE NEWS SERVICE
Iceland Review Online reports that Iceland’s Minister of Social Affairs Johanna Sigurdardottir formally opened a Polish news website yesterday as a subsection of dv.is, the news website for Icelandic daily newspaper DV. All the main stories from DV will be translated to Polish.
According to a press release, editor of DV Thorarinn Thorarinsson said the news website is meant to provide service for the Polish community in Iceland. “Easy access to the main news stories from the Icelandic society strengthens the position of those who are trying to gain footing in a foreign community, foreign because of language barriers.”
At first the main emphasis will be on Icelandic news stories, but the website can also be used to to inform Polish citizens living in Iceland, and the main news stories from Poland can also be included. Wieslawa Vera Lupinska will translate news from DV on a daily basis.
“This is certainly a much-needed initiative,” said Helga Olafs, information officer of Althjodahus, the intercultural center in Reykjavik. “Immigrants have increased steadily and now account for about seven percent of the Icelandic nation. Poles make up the largest community within that group, almost one third of it.”
ARTIST & ENTERTAINMENT GROUP BUYS AUSTRALIAN COLLEGE OF ENTERTAINMENT
Artist & Entertainment Group has acquired the Australian College of Entertainment in Sydney for a total of $270,000 by way of a 100 percent vendor debt facility payable by June 30 2009.
Australian College of Entertainment has been in operation for 19 years, established as a leading performing arts educator in Sydney’s North West region. The school has 200 students generating in excess of $2,400 average revenue per member per annum. The school provides a comprehensive curriculum in dance, acting, and music with programs ranging from $800 per annum to $4,800 per annum.
The purchase follows Artist & Entertainment Group’s agreement to purchase leading performing arts school, Brent Street, in the late 2007.
ACE represents the group’s launch of its small scale acquisitions program whereby smaller schools of between 100 – 500 students are acquired and fully integrated into the Brightstars/ Artist & Entertainment Group operations leveraging off Artist & Entertainment Group’s programs, management and systems.
In addition to the acquisition of Australian College of Entertainment, the company has appointed Glenn Stapleton O’Rourke to head its small scale acquisitions program, overseeing the acquisition and integration of potentially hundreds of small performing arts schools Australia wide.
Stapleton O’Rourke successfully founded and managed the Australian College of Entertainment school and has previously worked in the television and production industries since 1978.
ZIMBABWE MEDIA LAWS INTRODUCED PRIOR TO MARCH ELECTIONS
ZeeNews reports that President Robert Mugabe has signed changes to Zimbabwe's media laws, which hopefully will end that country’s notoriously restrictive media controls.
The government controlled Herald newspaper reported that the new laws had been negotiated with the opposition late last year to come into effect before the March presidential and parliamentary elections.
The amendments negotiated in South Africa-mediated talks between the ruling party and opposition were rushed through Parliament at the end of 2007.
The opposition has given a muted welcome to the amendments.
The new law, which takes immediate effect, creates the Zimbabwe Media Commission.
Earlier last week the state media regulator Media and Information Commission asked the banned newspaper The Daily News to reapply for state registration. The Daily News was banned in 2003, when it had been Zimbabwe’s most widely circulated newspaper.
The Access to Information and Protection of Privacy Act signed into law by Mugabe in 2004 and enforced by the Media and Information Commission made practicing journalism without a license a crime. All journalists, Zimbabwean and foreign, and all media organizations had to obtain official accreditation, and many western news organisations, including the BBC, have been effectively prevented from working in Zimbabwe.
INDIAN COMPANY TO LAUNCH FILM MAGAZINE IN GERMANY
Here’s a turn up for the books. In recent months, international publishers have been rushing to gain a foothold in India’s boom print business.
But now an Indian company is launching a publication in Europe.
Agencyfaqs reports that Worldwide Media’s publication, Filmfare, will launch its German edition in February. The German edition of the magazine will be monthly and published in German, and the publisher expects a circulation of at least 15,000 copies every month in Germany. The content of the German edition will be exactly the same as in India.
Harjeet Chhabra, Worldwide Media’s general manager of marketing, told agencyfaqs, “There is a growing presence of Indian films and Indian stars in countries such as Germany, France, Holland, the US and the UK. Popularity is high, especially in Germany, France and Holland. Stars such as Shah Rukh Khan, Karan Johar and John Abraham are exceptionally popular. We are starting with Germany for our first international issue and if it’s successful, we might expand to more countries. Filmfare is likely to attract a host of local advertisers in Germany once the magazine is launched there.”
Filmfare magazine went fortnightly in India on January 9, and claims to have increased circulation by 20 per cent in the last couple of years.
The fortnightly format will allow Filmfare to offer its readers newsier, interactive content. A new section on movie reviews will be added to the format
ACP MAGAZINES GIVES NOD TO NEW EDITOR FOR AUSTRALIA’S BELLE MAGAZINE
ACP Magazines in Sydney said that Cerentha Harris will join Belle magazine as editor, reporting to editor-in-chief Neale Whitaker.
Harris has been an editor and journalist for more than 15 years, specialising in interiors, architecture and design. She started her career in New York on magazines including Martha Stewart Living before returning to Sydney where she worked on The Sydney Morning Herald for 10 years, most recently as editor of its weekly Domain section and as deputy editor of The (Sydney) Magazine.
The appointment of an editor returns the structure of Belle’s editorial team to the previous level.
Editor-in-chief Neale Whitaker said, “Cerentha’s appointment will add an important new dimension to Belle.
“Her knowledge and experience of the design industry in Australia and overseas is second to none and will further consolidate the magazine’s profile and integrity.”
LOS ANGELES TIMES FIRES ANOTHER EDITOR OVER BUDGET BLUE
The Wall Street Journal reports that Los Angeles Times editor James O'Shea was fired just 14 months after he assumed the post, over a budgetary disagreement with publisher David Hiller, “according to a person familiar with the situation.”
The Wall Street Journal said O'Shea had opposed making budget cuts demanded by Hiller that could have led to staffing reductions and affected the paper's ability to cover this year's election campaign and the Beijing Olympics, the person said.
O'Shea's exit comes little more than a month after the Times' parent company Tribune Co was taken private in a US$8.2 billion buyout. Chicago real estate magnate Sam Zell won effective control in the buyout and became chairman and ceo of Tribune.
O'Shea, who had been editor of the LA Times since November 2006, is the third successive editor of the paper to leave over budgetary issues. His predecessor, Dean Baquet, was ousted rather than make cuts requested by Tribune's then management. In July 2005, John Carroll had quit under similar circumstances.
Before joining the LA Times, O'Shea was a managing editor of the Chicago Tribune.
PAKISTAN CONDITIONALLY LIFTS BAN ON GEO NEWS TV CHANNEL
Reporters Without Borders said it hails the lifting of a government ban on cable TV distribution of the privately-owned TV channel Geo News but deplores the fact that President Pervez Musharraf made it conditional on the suppression of some its programs.
"Geo News has made major contribution to improving Pakistanis' access to independent news since 2002 and should never have been banned," the press freedom organisation said. "The ban, which lasted more than 10 weeks, was aimed at silencing outspoken reporters and commentators and investigative reports that were often damning for the authorities
"It is regrettable that the government insisted on the withdrawal of certain programmes. This constitutes yet further evidence that censorship is unfortunately still the rule just a few weeks before the parliamentary elections scheduled for 18 February."
The Geo News ban was identified by Reporters Without Borders as one of the five key press freedom problems that need to be resolved before elections are held. The organisation also maintains that, despite government denials, the ordinances on the print and broadcast media impose censorship and should be repealed.
The amendments to the ordinances on the print media (RPPO 2002) and broadcast media (PEMRA 2002) enable the authorities to impose a three-year jail sentence on journalists who defame or mock the president.
Reporters Without Borders supports the "Free Media for Fair Pools" campaign organised by the Pakistan Federal Union of Journalists.
Geo TV's management confirmed to Reporters Without Borders today that President Musharraf gave permission on January 19 for Pakistani cable TV operators to resume distributing the news channel, Geo News, and its sister sports channel, Geo Super. Because of the Shiite festival of Muharram, Geo TV postponed the resumption of distribution until today.
The agreement between Geo TV's owners and the government is conditioned on the suppression of news programmes hosted by Dr Shahid Massod and Hamid Mir, two veteran journalists and commentators. They are allowed to continue working as journalists for the station, but cannot present their own programmes. The authorities also requested that columns by pro-government commentators should be published more often in The News and Jang, two newspapers owned by the Geo TV group.
All of the Geo TV stations, which were banned on 3 November, the day that a state of emergency was proclaimed, broadcast from Dubai.
Most of the other TV stations that were banned on 3 November resumed broadcasting after signing a code of conduct imposed by the government on 12 November.
| 66 |
| Vote |
Subscribe to this blog
