The ACMA has approved a transaction that will facilitate the proposed merger between Seven West Media Limited (SWM) and Southern Cross Media Group Limited (SCA).
While approving it, the ACMA noted the merger will result in temporary breaches of the media diversity rules in 17 commercial radio licence areas.
There will be a reduction of media diversity points in four – Mt Isa and Roma (QLD), Mildura (VIC) and Bunbury (WA) and a greater reduction in 13 in WA including Albany, Bridgetown, Carnarvon, Esperance, Geraldton, Kalgoorlie, Karratha, Katanning, Merredin, Narrogin, Northam, Port Hedland and Remote Commercial Radio Service Western Zone.
SCA will have a court-enforceable undertaking to divest commercial radio and/or commercial television broadcasting licences in the affected areas.
In a release to shareholders in response, SCA said:
“SCA is committed to regulatory reform of existing media ownership laws including potential amendments to the Broadcasting Services Act which would allow SCA to retain all existing commercial broadcasting licences.”
With the ACMA approval, clause 3.1(a) of the Scheme Implementation Deed has been satisfied. Seven West Media’s meeting to approve the scheme is to be held on December 22.
“SCA is committed to regulatory reform of existing media ownership laws including potential amendments to the Broadcasting Services Act which would allow SCA to retain all existing commercial broadcasting licences.”
Yes, that's not a bad thing at all ;) This is one thing i hope won't happen. Power indulged is power abused.
The divestment of WA SCA radio stations outside of Perth is a good outcome because SWM owns the 'West Australian' newspaper and most regional mastheads. In TV '7Regional' creates the only news bulletin outside of Perth