08/29/2019 | News release | Distributed by Public on 08/28/2019 21:02
29 August 2019
The Overseas Investment Office (OIO) has granted consent for broadcaster MediaWorks and advertising company QMS Media to merge their New Zealand operations.
The merger requires consent under the Overseas Investment Act as it is a transaction involving significant business assets worth more than $100 million.
The transaction also involves property considered as 'sensitive land' under the Overseas Investment Act.
This includes several pieces of residential land used for billboard advertising and radio telecommunications equipment, and otherwise sensitive land, being a leasehold interest in approximately 4.4 hectares of land in Horokiwi, Wellington (radio tower).
MediaWorks operates across television, radio and digital. It is currently owned by Tokyo Opportunities B.V., itself owned by investment funds that are managed by Oaktree Capital Management L.P.
QMS, which is listed on the Australia stock exchange, is a media company that operates a network of outdoor digital and static billboards and transit media.
It is expected the merger will provide opportunities for growth and enhance the merged business' ability to act as a multi-platform advertising company.
The merger between MediaWorks and QMS' New Zealand businesses is expected to increase advertising offerings in New Zealand from outdoor advertising through to radio, television and digital.
QMS and MediaWorks have a track record of investments that have benefited New Zealand.
Both companies have satisfied the OIO that the individuals who will control the investment have the relevant business experience and acumen and are of good character.