Speculation is growing that Seven Network Ltd
(ASX:SEV) boss Kerry Stokes, could be about to launch a full takeover bid for James Packer’s Consolidated Media Holdings.
Last week it was revealed that Mr Stokes had spent over $234 million to increase his stake in ConsMedia from 4.8 per cent to18.3 per cent.
Mr Packer fought back, raising his stake from 37.9 per cent to 39.3 per cent.
Consolidated Media Holdings owns a 25 per cent stake in Pay TV provider Foxtel, 50 per cent of pay TV channel producer Premier Media Group, a 26.7 per cent stake in online job ads company Seek.
In an article in The Australian Financial Review, the paper quotes an institutional shareholder saying that Mr Packer will not let go of his media assets easily or at a discount, so Mr Stokes may have to pay a hefty price if he wants to increase his stake to 100 per cent.
Seven Network’s 2007 net profit was definitely the company’s stand out result in the last five years, posting $1.56 billion.
