Seven West Media (SWM) has struck a major deal to take over key regional broadcast assets from Southern Cross Media Group, strengthening its national network.
According to the announcement, SWM has signed a binding agreement to purchase television licences and related assets in Tasmania, Darwin, Spencer Gulf, Broken Hill, Mt Isa, and remote central and eastern Australia.
These regions currently broadcast Seven Network programs under an existing affiliation agreement with SCA. With this acquisition, SWM says it will effectively complete its national broadcast network.
The new areas will also get access to the company’s live and video-on-demand services through 7plus, enhancing the digital offering in these markets.
As per the agreement, SWM will pay $3.75 million (US$2.4 million) in cash once the deal is finalised, and the company expects the transaction will start generating earnings in the 2026 financial year.
The deal is scheduled for completion by June 30.
SWM Managing Director and CEO Jeff Howard said the acquisition of the television licences marked another strong move in SWM’s strategic transformation program.
“Seven is Australia’s largest commercial free-to-air broadcaster and we are excited by the opportunity to further leverage our leading news, sport and entertainment content in these new markets, across both Seven and 7plus to drive incremental revenue, earnings and cash flow.”
Southern Cross Media confirmed the sale and said proceeds would go toward reducing its debt.
Move Follows Failed ADH Bid
This announcement follows an earlier attempt by Australian Digital Holdings (ADH) to buy the same regional licences from SCA.ADH had agreed to the same $3.75 million cash price but also included an additional $3.6 million in service fees, taking its total offer to $6.35 million.
ADH Director of TV, Jason Morrison, said at the time that SCA had been eager to exit television, while they had a plan to cut costs, boost revenue, and renegotiate costly affiliate fees.
The news streaming channel was co-founded by Jack Bulfin in 2021, with backing from prominent conservative media figure Alan Jones.
The company operates as a right-leaning digital-only broadcaster, offering streaming content via ADH TV.
It has also signalled plans to bring the U.S. conservative channel Newsmax to Australian audiences.
The now-cancelled ADH deal had included plans to bring back local news programming, particularly in areas like South Australia’s Spencer Gulf.
Morrison had said the company was “looking hard” at the high costs of regional affiliate agreements with Seven.
