Seven West Media extends Channel 7 reach with $3.8m purchase of rural TV licences from Southern Cross Media

Daniel Newell
The Nightly
Seven West Media chief executive Jeff Howard.
Seven West Media chief executive Jeff Howard. Credit: Supplied/TheWest

Channel 7 and its suite of popular digital television offerings will extend their reach to almost the nation’s entire population after the broadcaster snapped up a host of television licences across a vast swathe of regional Australia.

Network owner Seven West Media on Tuesday revealed it would pay $3.75 million to Southern Cross Media to acquire the television licences and associated assets operating in Tasmania, Darwin, Spencer Gulf in South Australia, Broken Hill in NSW, Mt Isa in Queensland and remote, central and eastern Australia.

The licences currently broadcast Channel 7’s television signal under an affiliation agreement with Southern Cross.

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SWM said the deal largely completes the media group’s national broadcast network and would open new markets where its offering of digital television — both live and on-demand — on 7plus complements Channel 7’s broadcast signal.

Chief executive Jeff Howard said the purchase was another step in SWM’s strategic transformation program.

“Seven is Australia’s largest commercial, free-to-air broadcaster and we are excited by the opportunity to further leverage our leading news, sport and entertainment content in these new markets, across both Seven and 7plus to drive incremental revenue, earnings and cash flow,” Mr Howard said.

“Following this acquisition, Seven will reach almost 100 per cent of Australia’s population (ex-Riverland).

“With the successful launch of our Phoenix total television platform, our valued advertising partners and media buyers will be able to seamlessly reach and target these new and attractive audiences across both broadcast and digital campaigns.

The deal, which will be immediately earnings accretive, is expected to be finalised by June 30.

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