Accessible News

Top storiesNew ZealandPoliticsBusinessEntertainmentSportsWorld

Proposed media merger turns septic as NZME seeks injunction in bid to buy Stuff

Thursday, 14 May 2020

NZME is going to court after Nine said it had terminated talks about selling it Stuff.
NZME is going to court after Nine said it had terminated talks about selling it Stuff.

Auckland media company NZME has gone to the High Court to seek an injunction forcing Stuff's Australian owner Nine not to turn its back on negotiations to sell Stuff to NZME.

NZME, which owns the New Zealand Herald, said in a statement on Monday that it was still in 'a binding exclusive negotiation period' with Nine for the purchase of Stuff and 'does not accept that exclusivity has been validly terminated'.

Nine had said earlier on Monday that it terminated negotiations with NZME over the sale of Stuff last week.

**READ MORE:

* All Stuff's options still on the table after NZME's curious gambit

* Opinion: StuffMe becomes RebuffMe amid merger chaos

* NZX Regulation contacted NZME over Stuff takeover statement

**

NZME said on Thursday it had filed an application for an interim injunction against Nine 'seeking orders to enforce this binding agreement entered into between NZME and Nine on 23 April 2020'.

The injunction hearing is due to take place at Auckland High Court on Friday.

An initial statement by NZME to the NZX on Monday — that stated it planned to buy Stuff for one dollar — resulted in an approach to the publisher from NZX Regulation, after Nine said the talks were off.

NZME subsequently issued a further announcement to the exchange, noting Nine's position but also stating that as far as NZME was concerned it was still negotiating to buy Stuff.  

At the same time as it reiterated its buying intentions for Stuff, NZME put in a fresh request to the Commerce Commission to allow it to purchase Stuff. 

A spokesperson said an application had been received but further information was required.

''We are unable to give an estimate of how long this application will take to process at this stage.''

NZME's shareholders are being urged to vote for a break up of the company's assets.

Three resolutions have been put by individual shareholders to the company's annual meeting next month. The NZME board has recommended shareholders reject them.