Seven Network snares Southern Cross regional TV assets from ADH TV as deal collapses

Australia’s Seven Network has snared Southern Cross Media group’s regional broadcasting assets in a surprise eleventh-hour twist to the competitive transaction.

Jeff Howard

In February, Southern Cross announced it was selling the assets to Australian Digital Holdings (ADH) subject to final regulatory and conditional approvals, however the company has now advised that these conditions were not satisfied and “all further negotiations and discussions with ADH have now ceased.”

In the original sale deal ADH had committed to buying Southern Cross Media’s regional television licences for A$6.35m (US$4m).

Seven West Media had been a competitive bidder for the assets that include the television licences and associated assets operating in the areas of Tasmania, Darwin, Spencer Gulf, Broken Hill, Mt Isa and Remote, Central and Eastern Australia.

Seven West Media (SWM) and Southern Cross both announced today that they have entered into a binding agreement which will result in the regional assets being acquired by Seven for A$3.75m, in an upfront consideration.

The acquisition represents a near completion of SWM’s national broadcast network and opens new markets to Seven, with the offering of digital television across live and VoD.

The transaction is expected to be completed by 30 June 2025.

SWM managing director and chief, Jeff Howard, said: “The acquisition of these television licenses is another positive step in SWM’s strategic transformation program. Following this acquisition, Seven will reach almost 100% of Australia’s population.”