A general shareholders’ meeting of the WorldAudio radio group has approved the issue of shares to retail giant, Gerry Harvey, and has been told the organisation’s network rollout is on track for late August.
Harvey paid $1.5 million earlier this year for 10 million shares, representing a 9% stake in WorldAudio. At the time, the company announced that it intended to “… apply these funds to working capital, completion of the rollout of infrastructure and commercialisation of its national radio network – Radio 2. The directors are pleased to welcome Mr Harvey as a significant shareholder in the company.”
Coupled with an $8 million share placement, this will help WorldAudio continue its AM radio network rollout, with a launch planned for later this year.
In his address to the meeting, WorldAudio Chairman, Peter Solomon, welcomed Gerry Harvey – on behalf of the Board – as a shareholder of the company.
“It has been some seven months since our last meeting and it is prudent to provide shareholders with an update on the real progress that the company has made.
“The rollout of further broadcast transmission sites across Australia, in conjunction with Broadcast Australia and Crown Castle International, is to be completed by 29 August. Radio 2 is now broadcasting free to air commercial AM program content to an estimated population reach of 12 million people (all ages) in the states and territories.
“A successful share purchase plan was conducted in April and May of this year, raising $628 000 in funds for the company.
“An unmarketable parcel buyback has also been conducted in conjunction with Shaw Stockbroking (Melbourne), reducing our shareholder register by 2184 shareholders, which will save the company considerable costs in communicating with shareholders.”
Solomon moved on to talk about proposed new production and broadcasting studios, describing these as the ‘National Network Operations’ Centre’.
“An excellent location has been identified at Sydney Olympic Park, Homebush and a lease has been signed. Plans have been drawn up for the facilities and construction is expected to commence within the next few weeks. These facilities are a vital element in our future plans.
“We have continued our objective in playing a leading role in the emergence of digital radio in Australia.” (Radio 2 is part of the digital radio test broadcasting in Melbourne with Sport 927 and the ABC and SBS.)
“While we have achieved a great deal, there remains much to be done as we continue to build a national broadcasting network with a very significant value. Further initiatives include moving our western Sydney mast and transmitter to a more appropriate location to provide an improved quality of signal. The site has been identified and a lease completed, with works under way.
“WorldAudio wants to complete a ‘state of the art’ digital studio and production facilities in Sydney to service our extended national commercial network, and to commercialise our network by engaging local and regional sales and marketing personnel to build awareness of Radio 2 and substantially increase advertising revenue.”