Share­holder value

Finweek English Edition - - IN THE NEWS -

Bon­amour be­lieves that TMG has cre­ated good value for share­hold­ers.

TMG’s cur­rent mar­ket cap­i­tal­i­sa­tion of R2.8bn will in­crease once Black­star merg­ers with Tiso, which in turn could make the com­pany more liq­uid and at­trac­tive to in­vestors. At the time of go­ing to print TMG shares traded at R22 – nearly dou­ble its list­ing price in Septem­ber 2012.

“Re­mem­ber, we listed TMG at R11.40 in 2012. Once the buy­out hap­pens TMG share­hold­ers will have made a sig­nif­i­cant re­turn.”

Its cur­rent mar­ket cap­i­tal­i­sa­tion of R2.8bn com­pares with Avusa’s R2.5bn prior to the an­nounce­ment of the deal in June 2012. prof­itabil­ity de­clin­ing any­time soon.”

Vicky My­burgh, head of en­ter­tain­ment and me­dia at Price­wa­ter­house­Coop­ers, also be­lieves prospects for the printed me­dia in SA look rel­a­tively healthy com­pared to more de­vel­oped coun­tries. “The threat from dig­i­tal me­dia is more muted here be­cause fixed broad­band pen­e­tra­tion in South Africa is ex­pected to re­main low.”

Away from print

Bon­amour, how­ever, has no qualms about di­ver­si­fy­ing from print. The cas­hand-share deal through which Black­star

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