Southern Cross rejects revised ACM proposal

The news: Southern Cross Media has decided not to pursue a proposal to acquire a number of assets from Australian Community Media (ACM), following a review with ACM and consultation with major shareholders.

The numbers: ACM's proposal, tabled last month, would have involved Southern Cross acquiring 14 of ACM's daily print and digital news publications and its agriculture division.

The context: Southern Cross said ACM's digital and regional capabilities and content "hold some attraction", but the Melbourne headquartered media group concluded that the relevant assets "do not align" with its "audio-focused strategy" and would not create value for its shareholders.

Southern Cross said it appreciated the "constructive and open engagement" from ACM's leadership and management team" and "wishes ACM well for its ongoing digital transformation".