Federal Court approves Nine-Fairfax merger

Last hurdle is cleared for historic $4.2 billion merger of Australian media companies

The historic merger between Fairfax and Nine has passed the last hurdle, with Australia’s Federal Court giving the go-ahead for the deal.

The scheme of arrangement for the $4.2 billion merger was officially approved by Justice Gleeson in the Federal Court of Australia today, with orders due to be lodged with the Australian Securities and Investments Commission (ASIC) tomorrow.

This last step comes three weeks after Australia’s competition watchdog, the ACCC, rubber stamped the deal, event as its chair, Rod Sims, admitted it was likely to reduce competition in the media sphere.

It also comes a week after more than 80 per cent of Fairfax’s shareholders voted in favour of handing over the keys of the business to Nine.

In a statement to the ASX, Fairfax reiterated the combination of the two companies will create one of the largest multi-platform media companies in Australia which will be able to take advantage of further growth opportunities thanks to a stronger combined balance sheet.

“The combined group will have substantial scale in both traditional and digital media, presenting a powerful value proposition to media agencies and advertisers,” the statement read.

In an email circulated to staff, Nine CEO, Hugh Marks, who will lead the merged group moving forward, said the plan is to share the organisational structure and impact on key divisions of the business over the next fortnight. The official first day of joint operations will be 10 December.

“This deal is all about our strategy for the future together and it promises exciting opportunities for our employees, our clients and our audiences,” Marks said. “Together we will provide our audiences with the best of entertainment and quality journalism on the platform they choose. As one company.”

From 10 December, the Fairfax brand name will be retired, with the new entity operating under Nine. The combined group will own the free-to-air Nine broadcasting network, Sydney Morning Herald, The Age, The Australian Financial Review, a majority stake in the Domain online retail site, streaming service, Stan, and a majority stake in radio network operator, Macquarie Media.

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

Latest Videos

Conversations over a cuppa with CMO: Microsoft's Pip Arthur

​In this latest episode of our conversations over a cuppa with CMO, we catch up with the delightful Pip Arthur, Microsoft Australia's chief marketing officer and communications director, to talk about thinking differently, delivering on B2B connection in the crisis, brand purpose and marketing transformation.

More Videos

Great article!

Daniel Dan

What robotic process automation can do for marketers

Read more

We can deliver DIP N PAY JP54,JET A1,D2,FOB @Rotterdam CRUDE OIL CIF /DIP N PAY TANKFARM CHINA ,we have sellers that can work based on st...

JSafra Bank

Google+ and Blogger cozy up with new comment system

Read more

JP54,D2, D6, JetA1 EN590Dear Buyer/ Buyer mandate,We currently have Available FOB Rotterdam/Houston for JP54,D2, D6,JetA1 with good and w...

Collins Johnson

Oath to fully acquire Yahoo7 from Seven West Media

Read more

Great content and well explained. Everything you need to know about Digital Design, this article has got you covered. You may also check ...

Ryota Miyagi

Why the art of human-centred design has become a vital CX tool

Read more

Interested in virtual events? If you are looking for an amazing virtual booth, this is definitely worth checking https://virtualbooth.ad...

Cecille Pabon

Report: Covid effect sees digital events on the rise long-term

Read more

Blog Posts

A Brand for social justice

In 2020, brands did something they’d never done before: They spoke up about race.

Dipanjan Chatterjee and Xiaofeng Wang

VP and principal analyst and senior analyst, Forrester

Determining our Humanity

‘Business as unusual’ is a term my organisation has adopted to describe the professional aftermath of COVID-19 and the rest of the tragic events this year. Social distancing, perspex screens at counters and masks in all manner of situations have introduced us to a world we were never familiar with. But, as we keep being reminded, this is the new normal. This is the world we created. Yet we also have the opportunity to create something else.

Katja Forbes

Managing director of Designit, Australia and New Zealand

Should your business go back to the future?

In times of uncertainty, people gravitate towards the familiar. How can businesses capitalise on this to overcome the recessionary conditions brought on by COVID? Craig Flanders explains.

Craig Flanders

CEO, Spinach

Sign in