Mediaworks Struggle In A Skewed Market, Puts TV Industry On Sale
Recently, the struggling media firm MediaWorks is pushing its TV business Three on the sale block. This was after dismissing and scaling back its shows.
The firm owns television, radio, and advertising operations. They had also informed through its own news institution Newshub that it would sell its most significant asset.
Newshub’s operations come from Bravo, which is a shared venture.
Meanwhile, the Chief executive of MediaWorks, Michael Anderson, has been roasted by employees. It happened during a tense staff meeting recently.
The staff is figuring out that maybe Seven Network in Australia may perhaps be a potential buyer.
In a news report, a MediaWorks staff indicated, “Everyone is in a state of shock.”
The spokesperson also added, “It’s clear they (MediaWorks) see zero value in the TV side of the business. It feels like the company is still in a state of flux.”
Lastly, “This whole situation is going to see us lose some key talent,” he said.
MediaWorks Under A New Owner
On the flip side, Mr. Anderson stated that MediaWorks TV was now in a place where “it can be separated from the radio and outdoor business to be operated under a new owner in a more sustainable fashion – and, ultimately, for-profit”.
The US private equity firm Oaktree Capital owns MediaWorks.
Elsewhere, MediaWorks chairman Jack Matthews indicated it would retain its profitable radio network. This is together with the new advertising company QMS. The developing of the firm was outdoors.
He also said, “Our focus now is to accelerate the opportunities that exist for those platforms.”
Earlier this year, MediaWorks collaborated with the billboard company QMS.
The business would also sell its television headquarters. It is placed near central Auckland, which was owned for 30 years, to be leased back to the television company.
This week, MediaWorks also informed it was cutting essential local TV comedies. They were citing the company’s extending problems and broader troubles in free-to-air television.
