Company - - Dec 14,2016
Advertising rivals APN Outdoor and oOh!media are merging to create a $1.6 billion outdoor advertising firm in New Zealand & Australia.
With the subsequent coalition, APN Outdoor corporation will own 55% of the merged group, while oOh!media will possess the remainder. This newly formed group will have 8985 digital and 63,200 non-digital billboards along with screens on roadsides, airports, railways, offices and other bespoke locations across New Zealand and Australia.
The current Chief Executive Officer of oOh!media Mr. Brendon Cook will become the managing director of the freshly merged group. While APN Outdoor Chairman Mr. Doug Flynn will head the enlarged group under whom the Chief Financial Officer is stated to be Mr. Wayne Castle.
The managing board of both the corporations approved the deal for merging and have recommended it further to their stockholders. The agreement will also require authorization from the Australian Competition and Consumer Commission. The chairman of oOh!media, Michael Anderson states the grouping of both companies will construct an attractive media offering, reinforced by a passionate and qualified group.
The latest merger takes place after APN Outdoor earlier this year cautioned of abating circumstances in the outdoor advertising industry, leading a sell-off in its bonds. APN outdoor rival oOh!media also suffered a sell-off in the middle of the year.
As the share of the deal, both outdoor corporations have agreed that they will cap final bonuses for the year to 31 December at 10c and 12.5c per share sequentially.
APN Outdoor chairman Mr. Doug Flynn stated that the dealings fetch together complementary asset cases across important formats in regional and metropolitan markets to generate a diversified out-of-home and digital online media group in Australia and New Zealand. Mr. Flynn further said the merger offer was a “compelling opportunity for all shareholders.”