JCDecaux buys APN for $1.12bn

Acquisition comes a day after oOh!Media confirms $570 successful bid for out-of-home advertising supplier, Adshel

Just a day after oOh!Media confirmed its acquisition of out-of-home advertising player, Adshel, for $570 million, JCDecaux has announced it will acquire ASX-listed APN Outdoor Group in a deal worth $1.12 billion.

JCDecaux’s revealed its intentions to acquire APN last week, announcing an unsolicited $1.09 billion bid for 100 per cent ownership of the OOH business, based on a purchase price of $6.52 per share. Today’s offer sees this increased to $6.70 per share, a FY18 multiple of 12.9.

The purchase is subject to several conditions including approval from the ACCC, Australia’s Foreign Investment Review Board and the New Zealand Overseas Investment Office.

APN appeared to demonstrate initial reluctance to take up JCDecaux’s offer last week, instead choosing to up its own multi-million dollar bid for Adshel to $540 million. APN previously offered $500 million for the business on 22 May.

Upon oOh! announcing its successful bid for Adshel, APN called a trading halt on the ASX pending its own M&A news.

In a statement today, APN Outdoor chairman, Doug Flynn, said the JCDecaux scheme is an attractive, all-cash transaction being unanimously supported by the board of directors and makes for a compelling proposition for shareholders. The company hopes to close the deal in Q4.

“The recommended acquisition of APN Outdoor by JCDecaux represents an excellent outcome for our shareholders, staff and partners,” APN CEO and MD, James Warburton, continued.

“JCDecaux’s proposal is testament to the position APN Outdoor holds in the Australia and New Zealand media sectors and our recent strong performance, winning and retaining key new contracts.”

JCDecaux operates more than 1 million OOH panels across 80 countries and has 13,000 employees and revenues of EU3.5billion. APN meanwhile, has more than 40,000 OOH touchpoints across A/NZ.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+:google.com/+CmoAu   

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Blog Posts

How service heterogeneity is impacting engagement

Marketers have long known the importance of standardising products to assure quality and consistency. For services, however, standardisation is much more complex.

Dr Chris Baumann

Associate professor, Macquarie University

Kindness matters in business: why the nice guys finish first

A recent 1000-page Royal Commission report on misconduct in Australia’s financial sector revealed hair-raising stories of excessive commissions, rampant mis-selling and charges levied on the dead. So how do you stop a bank from misleading its customers?

Nick Liddell

Director of Consulting, The Clearing

Myer vs. David Jones: Do cyborgs win?

As two of Australia’s stalwart brands in Myer and David Jones continue their respective journeys through troubled waters, it heralds yet another sign of the shifting business environment and shift towards an experience economy.

Tom Uhlhorn

Founder and strategy director, Tiny CX

nice article

meripadhai

5 things marketers need to do to get better in buy in when presenting

Read more

International business is closely related to marketing or marketing activities carried out by the company. According to Gitman and McDani...

Eko Prasetyo Utomo X

Salesforce: The age of the marketing campaign is over

Read more

Back in 1968 Holden began an appeal to customers who have an interest in competition. It did this with the introduction of the HK GTS 32...

Ben Tate

Marketing professor: For Holden, brand nostalgia ain’t what it used to be

Read more

Your blog post is really good and informative. Thanks for taking time to provide us this useful information with us.Auto wrapping uaeADF ...

Yes Machinery

Image intelligence:10 must-see infographics for marketers

Read more

A debt of gratitude is in order for sharing this marvelous information.I have taken in numerous things from your post

digitech Classes

Lumen CMO strives to make the brand synonymous with anti-ageism

Read more

Latest Podcast

More podcasts

Sign in