Nine CEO Executes $850M Outdoor Ad Acquisition, Radio Exit
Nine CEO Matt Stanton reshapes portfolio with $850M QMS outdoor ad buy, $56M radio exit, and regional TV sale—pivoting from legacy broadcast to digital.
Nine Entertainment CEO Matt Stanton has orchestrated three simultaneous transactions that fundamentally reshape the Australian media company's portfolio, marking a decisive shift from legacy broadcasting toward digital platforms. Within ten months of his March 2025 appointment, Stanton announced the acquisition of outdoor advertising company QMS Media for $850 million, the divestment of radio assets for $56 million, and the sale of regional television license NBN Television.
Digital Outdoor Bet Anchors Portfolio Transformation
The centerpiece of Nine's restructuring is the QMS Media acquisition, which adds a digital outdoor advertising business projected to deliver $105 million in earnings before interest, taxes, depreciation, and amortization in calendar year 2026. The purchase price represents 6.8 times CY26 EBITDA. QMS operates 95% digital outdoor inventory including billboards and transport screens across Australia.
Nine retained QMS's existing management team led by CEO John O'Neill. The company expects to achieve $20 million in annual pre-tax cost savings by fiscal year 2029 through integration and back-office consolidation. The acquisition positions Nine to offer cross-selling opportunities between television and outdoor advertising.
The QMS purchase follows private equity firm Quadrant's original $420 million investment in the outdoor advertising company in late 2019, representing a significant premium on that initial valuation.
Radio Exit Generates Tax Benefits Despite Asset Writedown
Nine sold its radio portfolio to billionaire Arthur Laundy's family office for $56 million, exceeding market expectations of approximately $40 million. The sale includes talk stations 2GB, 3AW, 4BC, and 6PR, plus AM music stations Magic, 2UE, and 4BH.
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The transaction price represents an 80% decline from Nine's 2019 valuation when the radio group was worth $275 million. However, the divestment generates $178 million in tax benefits that Nine plans to redirect toward digital growth initiatives. Laundy is expected to retain current station management and may negotiate selling the music stations to Ace Radio.
Despite exiting radio ownership, Nine announced plans to maintain partnerships through news content sharing, Stan Sport promotion in Laundy venues, and advertising collaboration.
Regional Television Consolidation Completes East Coast Coverage
Nine sold its northern New South Wales regional television license NBN Television to Bruce Gordon's Win Television for $15 million. The transaction completes Gordon's east coast network coverage while securing Nine's broadcast output across most of Australia through Win's distribution network.
The regional television sale represents Nine's continued retreat from direct ownership of broadcasting assets in favor of content production and digital distribution models.
Digital Revenue Target Drives Strategic Pivot
"Today's announcements mark a critical milestone in our Nine2028 transformation," said Matt Stanton. The restructuring aims to grow digital businesses including Stan, QMS, and publishing to more than 60% of revenue by fiscal year 2027, compared to 45% in FY25.
Nine also unified its streaming and broadcast leadership under Amanda Laing, who oversees Channel 9, 9Now, and Stan effective July 1, 2025. The leadership consolidation reflects industry trends toward integrated digital and broadcast operations.
The transactions temporarily increase Nine's net debt to EBITDA ratio to 1.8 times. Nine Entertainment shares declined 20% over the 12 months preceding the restructuring announcement, compared to a 5% gain for the ASX 200 index during the same period.
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