Macquarie Media Group (MMG) has formally announced a capital and corporate restructure and the internalisation of its management.
The group announced to the Australian Securities Exchange that its recapitalisation would involve a $294 million capital raising that would be used to reduce debt and fund the internalisation of management.
The announcement said it was proposed to simplify the corporate structure of MMG by converting from a triple stapled structure into a single holding company as well as moving to the corporate governance structure of a single publicly-listed company.
It said the combination of all the initiatives had the potential to attract new investors to MMG by addressing concerns some investors might have about the relatively high levels of gearing in Macquarie Southern Cross Media, investing in externally managed listed funds and investing in stapled securities.
Commenting on the move, MMG chairman Leon Pasternak said the board was confident the initiatives would transform the company into a simpler, independent and appropriately capitalised Australia-focused media company.
