Former Domain boss Antony Catalano's interest in real estate is likely to hold him in good stead after buying Nine's regional papers. While Australian Community Media (ACM) is fading as a media business, its property values may offer Catalano a foothold in the Australian real estate business.
The deal announced yesterday valued the company (which includes 170 regional newspapers) at $115 million, with $105 million to be paid on settlement and another $10 million withheld. ACM's 2018-19 interim results for the six months to last December showed an 8% fall in revenue to $194.1 million (faster than the 6.5% in 2017-18 as the drought intensifies in eastern states). If applied across the year to June that would see revenue fall under $370 million and cut earnings to less than $40 million.