Story image

Allan Gray reduces stake in APN News & Media

17 Mar 2015

Allan Gray Australia says it cut its stake in APN New & Media because the share price had risen.

The fund manager has cut its stake in APN to about 15.5 percent from 17.7 percent, according to notices filed to the ASX. APN shares last traded at 93 Australian cents and have jumped 50 percent in the past 12 months, outpacing a 10 percent gain for the S&P/ASX 200 Index.

"With the share price having risen so much it's becoming a bigger and bigger part of our portfolio," Simon Mawhinney from Allan Gray Australia told BusinessDesk. " It's just normal portfolio management stuff," he said.

The Australian fund helped force a boardroom shakeout at APN News & Media in 2013 and had also previously reduced its stake in Fairfax Media.

Last month APN put off the public share float for its newly consolidated kiwi business, NZME, as it announced an 11 percent drop in annual profit for the New Zealand operations.

APN chief executive Michael Miller told BusinessDesk at the time that the delay wasn't due to a lack of investor interest, but rather it was waiting for the benefits of the consolidation to get the best price.

Last year, the Sydney-based company bundled its New Zealand business, which includes The New Zealand Herald, The Radio Network and GrabOne, under the NZME banner to cut costs and package the assets for an initial public offering.

In a shareholder review published on Monday, APN said its goal is to outperform in each of its markets in 2015. The company also said it sees growth opportunities in South East Asia.

"It is pleasing that our share price is reflecting the changes the company is adopting," chairman Peter Cosgrove said in the review.

Overall, the Australasian group's net profit was A$11.5 million in the year ended Dec. 31, up from A$2.6 million a year earlier. Revenue from continuing operations increased 3 percent to $843.2 million

Slack doubles down on enterprise key management
EKM adds an extra layer of protection so customers can share conversations, files, and data while still meeting their own risk mitigation requirements.
NVIDIA introduces a new breed of high-performance workstations
“Data science is one of the fastest growing fields of computer science and impacts every industry."
Apple says its new iMacs are "pretty freaking powerful"
The company has chosen the tagline “Pretty. Freaking powerful” as the tagline – and it’s not too hard to see why.
NZ ISPs issue open letter to social media giants to discuss censorship
Content sharing platforms have a duty of care to proactively monitor for harmful content, act expeditiously to remove content which is flagged to them as illegal.
Partnership brings AI maths tutor to NZ schools
“AMY can understand why students make a mistake, and then teach them what they need straight away so they don't get stuck."
Polycom & Plantronics rebrand to Poly, a new UC powerhouse
The name change comes after last year’s Plantronics acquisition of Polycom, a deal that was worth US $2 billion.
Unencrypted Gearbest database leaves over 1.5mil shoppers’ records exposed
Depending on the countries and information requirements, the data could give hackers access to online government portals, banking apps, and health insurance records.
Mozilla launches Firefox Send, an encrypted file transfer service
Mozille Firefox has launched a free encrypted file transfer service that allows people to securely share files from any web browser – not just Firefox.