Chief executive Greg Hywood: What does he mean by “the end game ” for Fairfax?
Rejection of the Fairfax-NZME merger has revived speculation about the future of Tv3. In the past, Fairfax was tipped as a possible buyer for the MediaWorks Group, including TV3 (+HR=E) and half the country’s radio stations. Eighteen months ago it made some sense. Fairfax-owns some big newspapers and the Stuff website. Mediaworks owns TV3, but the radio network is much more commercially successful. It has an under-developed digital arm. But the main plus for Fairfax would be there are none of the market dominance issues that bedeviled the NZME deal.
Media industry sources say that the media landscape has changed. Fairfax has bigger fish to fry back home. Does it want really want to hang around and buy into a difficult market in this country?
Advertising has slumped and television ad spend is particularly vulnerable. During merger hearings at the Commerce Commission, Greg Hywood said that rejection of the merger would be “the end game” for Fairfax.