Media law change set to benefit INM

SPECULATION is set to mount as to Independent News and Media’s (INM) plans for the Australian market, where it owns 40% of media giant APN.

The Australian Government is expected to announce, later this week, changes in the country’s media ownership laws.

The current laws state that newspaper publishers can’t buy television networks. They also make it difficult for foreign-based investors to expand heavily in the area. Non-Australian companies are limited to a 25% stake in metropolitan titles, 49.9% of regional publications, and 15% of Australian-based broadcasting businesses.

If and when ownership limits are extended or removed, the Fairfax Group — which owns the successful Sydney Morning Herald amongst other titles — is being tipped as a takeover target.

INM has been tight-lipped over what it would like to do, but group chief executive Tony O’Reilly last month said a change in the ownership laws would be an exciting development for INM.

Yesterday, a spokesperson for INM said it was “very difficult to look to the future before any changes are implemented, but any relaxation of the current laws would offer opportunities for all media players with an interest in Australia. Exactly how it will open the market, we’ll have to wait and see, though”.