APN Outdoor Group
(ASX:APO) and oOh!media Ltd
(ASX:OML) have agreed to merge to form a leading, diversified media group. The Merged Group will have a market capitalisation of $1.6 billion.
When the transaction completes, APN will own a 55% stake in the Merged Group, while Ooh!media will own a 45% stake.
The transaction will be effected via an oOh!media scheme of arrangement which is expected to be implemented around April 2017.
oOh!media shareholders, under this deal, will receive 0.83 APN Outdoor shares for each oOh!media share that they already own.
Although the directors of both companies believe the transaction is in the best interests of both companies, for this deal to go ahead, it is still subject to approval from oOh!media's shareholders.
APN Outdoor reported a net profit of $19.5 million at 30 June 2016.
