Seven West Media (SWM) M&A Announcement summary

Deal rationale and strategic fit

• The merger creates a leading integrated national media company with reach across TV, radio, audio, digital, and publishing platforms, serving both metropolitan and regional Australia.

• Combines highly complementary assets to deliver Australian content and advertising at scale, targeting high-value 25-54 audiences.

• Supports a unified strategy leveraging news, sport, and entertainment under a single offering.

• Both companies have advocated for industry consolidation to compete with global media giants.

Financial terms and conditions

• The all-scrip merger gives SWM shareholders 0.1552 SCA shares per SWM share, resulting in 49.9% SWM and 50.1% SCA post-merger ownership.

• The combined entity's day-one market capitalization is estimated at $417 million.

• The board will initially have four SWM and three SCA representatives, with Kerry Stokes chairing until Feb 2026, succeeded by Heath Mackay-Cruise.

• Jeff Howard will be CEO and John Kelly will be Group Managing Director, Audio.

• The merger is implemented via a scheme of arrangement, governed by a Scheme Implementation Deed.

Synergies and expected cost savings

• Annual pre-tax cost synergies of $25–30 million are expected within 18–24 months, mainly from reduced overheads, duplicated spend, and facility rationalization.

• Additional, unquantified revenue synergies are anticipated from cross-platform advertising and digital monetization.

• Many cost synergies are only achievable through the merger, not standalone.