The New Zealand Court of Appeal has rejected the final attempt from Fairfax to merge with its Kiwi print and radio rival, NZME.
Fairfax has been pushing this hook up since 2015, and despite being rejected by the Kiwi regulator, the Commerce Commission, and then the Supreme Court, took it to the Court of Appeal in June, in an odd attempt to undo the original decision.
The Supreme Court decision was never going to be overturned, and yesterday the court said ‘nope’.
Fairfax Media Chief Executive Officer Greg Hywood said in a statement on Tuesday: “The decision is not the outcome we wanted. We believed the merger as proposed would have delivered significant synergies and sustained at-scale journalism in New Zealand for many years.
“We have remained focused on our New Zealand business, and will do everything we can to ensure Stuff continues to implement its strategy and continues to serve our New Zealand communities. Stuff and Neighbourly are growing digital platforms and our new digital ventures are providing expansion opportunities.
“Print continues to be optimised and remains a valuable and highly engaging medium for readers and advertisers. I would like to thank all our people for working so rigorously and effectively through a long period of uncertainty.
“Stuff is in the hands of talented, passionate people who are acting decidedly and determinedly to create a prosperous future for the business.
“We will review the Court’s full judgment in detail when it is available,” he concluded.
Anyway, Stuff has been busy shutting, merging and selling 28 of its small Kiwi papers since February, and getting rid of staff. Now the merger is off, the big cuts will come and closures.
Fairfax’s share price was steady at 82 cents yesterday. It is in a holding pattern ahead of the Nine merger details release next month.
