It took less than 15 minutes, but Prime shareholders voted in majority (95%) for a deal by Seven to acquire the regional broadcaster.
This is the first television network consolidation since legislation was passed in September 2017 abolishing the so called ‘reach rule’ where a broadcaster could not reach more than 75% of the Australian television audience.
It was second time lucky for CEO James Warbuton after Prime major shareholders Bruce Gordon and Antony Catalano blocked a bid from Seven to acquire Prime, almost exactly two years ago.
With the deal to be completed on December 31st, the next steps for Seven are likely to be: addressing on-air branding for regional viewers; the consolidation of regional newsrooms; and the future of Prime staff affected by these consolidations.
The very short release from Seven read thus:
Seven West Media (ASX: SWM) notes the outcome of the vote conducted today at the Extraordinary General Meeting of shareholders of Prime Media Group (ASX: PRT).
PRT shareholders voted in favour of the acquisition by SWM of all the business and related assets of PRT via the acquisition of Prime Television (Holdings) Pty Ltd, Seven Affiliate Sales Pty Ltd and all their subsidiaries.
The acquisition will be completed on 31 December 2021.
This release has been authorised to be given to ASX by the Board of SWM.
