Tanarra Capital breaks silence on Nine and tips rise in ASX activism
The biggest activist fund in Australia explains its latest bet on a struggling legacy media giant and why ASX boards should expect more shareholder pressure.
One of the key figures at John Wylie’s $3 billion investment firm Tanarra Capital has shed light on the thesis behind his fund's newest position in Nine Entertainment and predicted a rising tide of investor activism on the ASX.
In a wide ranging and exclusive interview with Capital Brief, Tanarra portfolio manager Vidhur Rangaswamy said the firm believed Nine, Australia's biggest legacy media player, was underperforming its potential, as he called for more constructive discourse in the investment community around ASX listed companies.
“I think public discourse on how these companies can be run better is not a bad thing," Rangaswamy told Capital Brief. "It may be a little bit more disruptive at times, it may be a different view that’s put on the table, but I think it’s ultimately a good thing for the performance of the ASX.”
Tanarra, led by Wylie, a famed dealmaker at Credit Suisse and Lazard, emerged with a small stake in Nine last week. It marked the latest in a series of major moves by Tanarra over the past year, with Rangaswamy's $2 billion Long-Term Value Fund taking positions in high profile names such as LendLease, Healius, Ampol and Telstra.
