INM cuts APN stake by 10%to avoid raising further capital

Independent News & Media is set to reduce its stake in Australian media group APN by more than 10%.

The move — which will see INM’s shareholding in the Sydney-headquartered group decrease from 28.95% to just over 18.6% — will be as a direct result of the Irish group not taking part in APN’s proposed equity issue aimed at financing its acquisition of the remaining 50% of its Australian and New Zealand-based radio assets.

However, INM’s largest shareholder, Denis O’Brien, will see his stake in APN jump from 1.5% to just over 11% through his backing of the Australian group’s Aus$246.5m (€161.5m) buyout of its joint venture partner, US media giant, ClearChannel’s, stake in the radio assets.