Significant Changes in Media and Entertainment Sectors

Allan Gray’s chief investment officer, Simon Mawhinney, expressed dissatisfaction with the returns from ARN Media, prompting the firm to sell its entire stake in the company last week. ARN Media, the owner of well-known FM stations including KIIS and Gold, has not provided the expected investment returns, leading to this strategic decision.

Activist investment firm Samuel Terry Asset Management has now emerged as the largest shareholder in ARN Media after increasing its stake from 7.4 percent to around 16 percent, investing $15 million in a series of transactions. This recent acquisition positioned Samuel Terry ahead of other notable shareholders, including News Corp and Seven West Media.

In a separate development in the media realm, Paramount has announced an acquisition plan led by Skydance Media, with the Ellison family and RedBird Capital Partners set to acquire National Amusements for $2.4 billion. Additionally, they plan to invest over $6 billion to acquire Paramount shares and reduce company debt.

On the legal front, Sydney journalist Robert Ovadia has unexpectedly withdrawn his legal action against the Seven Network one month after initiating it. Ovadia faced allegations of inappropriate conduct leading to his suspension and eventual termination after 23 years with the company. His legal representation acknowledged the emotional toll of the legal proceedings on him and his family.

Ex-Ten reporter Tegan George reached an out-of-court settlement with the network over a lawsuit claiming trauma endured while reporting on the 2019-2020 bushfires. Though Ten denied any negligence, the settlement’s terms were not disclosed. George is still pursuing a separate case under the Fair Work Act against the network.

In significant industry news, Todd Sampson, a long-serving board member of Qantas, faced a challenging re-election, garnering only 66 percent of the shareholder votes amid a push against his reappointment. Dee Madigan defended Sampson, labeling the criticisms against him as unfair when compared to others who hold more significant roles in managing the brand.