Two of Australia's biggest media companies have announced plans to merge in a deal amounting to over $400 million. As part of the deal, Seven West CEO Kerry Stokes will step down.

Council of the City of Sydney

Seven West Media and Southern Cross Media have revealed plans to merge, creating what could become one of Australia's largest media conglomerates. The proposed deal would see Seven West's television and newspaper assets combined with Southern Cross's radio networks and streaming platform.

Under the agreement, news gathering and sports broadcasting would be shared across both companies' platforms, including streaming rights. Kerry Stokes, chair of Seven West, will step down and be replaced by Southern Cross's Heath Mackay-Crews. The merger is subject to approval from shareholders and Australian regulatory authorities, who will assess its impact on media control and diversity.

Seven West Media, Southern Cross Austereo announce massive merger

A media heavyweight, set to join forces with an Australian radio giant. Seven West Media and Southern Cross Media today announcing they've drawn up plans to create what would be one of Australia's biggest media conglomerates. Concentration of media has really come to the fore in America in recent weeks, as it turns out, with takeovers there. The problem is this, that the free-to-air television networks are all in decline. Seven West currently owns several free-to-air networks and the West Australian newspaper, while Southern Cross owns the Hit and Triple M radio networks and listener streaming platform. Under the deal, Seven would share its news gathering with both radio networks, as well as its AFL and cricket broadcasts, with Seven Plus and Listener to share streaming rights. Kerry Stokes will step down as chair of Seven West in February after nearly two decades in the top job, replaced by current SCA chairman Heath Mackay-Crews. The billionaire says following his retirement, he intends to continue to support the chair and board wherever he can. For Kerry Stokes, this is the end of an era. He's loved being in politics, being involved in politics by having the Seven network available to him around Australia. Even if the merger is approved by shareholders, it still has to be cleared by Australian communication and competition authorities to see if it breaches laws surrounding media control and diversity. There's a role here for two of our regulators, our competition regulator and our media regulator. There's an important role for shareholders as well and there are good reasons why I won't pre-empt any of those processes.

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