Southern Cross Media Group Limited has entered into discussions with WIN Corporation for the sale by SCA of its northern NSW (NNSW) television assets and operations to WIN and the acquisition of WIN’s i98FM Wollongong radio station.
Under an affiliation agreement with Network Ten, SCA broadcasts Ten programming in the NNSW television licence area.
The affiliation agreement is for a five-year term ending on 30 June 2021.
Completion of the proposed transaction with WIN will be subject to consent from Network Ten. WIN already broadcasts Ten programming in several regional television licence areas, including regional Victoria, southern NSW and regional Queensland. The proposed transaction would enable WIN to sell advertising for Ten programming in the four aggregated regional markets on the eastern seaboard.
SCA has a program supply agreement with the Nine Network under which SCA broadcasts Nine programming in regional Victoria, southern NSW (including Wollongong) and regional Queensland. SCA also provides national sales services for Nine’s NBN channel in NNSW, providing advertisers with a centralised port of call for their regional advertising on Nine’s content along the eastern seaboard.
SCA has 68 regional radio stations, but does not currently operate a radio station in the Wollongong licence area. The proposed transaction would create a multimedia market for SCA with the ability to cross sell radio and television in this market.
SCA will make a further announcement if agreement is reached on the transaction proceeding.