There’s been a dramatic shift in Australia’s media dynamic after a historic merger between two of the country’s most known media companies.
Nine Entertainment Co. and Fairfax Media have announced they’ll merge, with Nine owning 51 per cent of the company.
The deal is reportedly worth $4 billion dollars.
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Nine’s chairman Peter Costello said the move would deliver new opportunities across a range of platforms.
“Both Nine and Fairfax have played an important role in shaping the Australian media landscape over many years,” he said.
“The combination of our businesses and our people best positions us to deliver new opportunities and innovations for our shareholders, staff and all Australians in the years ahead.”
The move has shocked Fairfax employees, with some describing it on Twitter as a “gut punch”.
Veteran Fairfax investigative reporter Kate McClymont tweeted: “So after 150 years all we get is I would like to thank everyone for their contribution to Fairfax”.
So after 150-plus years this is all we get: “I would like to thank everyone for their contribution to Fairfax” https://t.co/GHjXMRTX2f
— Kate McClymont (@Kate_McClymont) July 25, 2018
Fairfax CEO Greg Hywood believes the merger “reflects Fairfax’s transformation strategy which has created value for shareholders”.
“We are confident that the strength of our combined management team and staff will ensure the continuation of our quality journalism,” he said in a statement.
Whoa! Nine and Fairfax merger. The company will be called Nine. pic.twitter.com/FWlLI55CoK
— Emma Elsworthy (@emmaels) July 25, 2018