Seven West Media confirms it’s in talks to buy WA’s Sunday Times

Seven West Media has confirmed it is in talks to buy Western Australia’s The Sunday Times and Perth Now website.

Kerry Stokes’ Seven West Media has confirmed it is in talks to buy Western Australia’s The Sunday Times and Perth Now website from News Corporation.

As revealed by The Australian, Rupert Murdoch’s News Corp has agreed to sell The Sunday Times newspaper to Seven, subject to regulatory approval.

The Australian Competition & Consumer Commission is expected to list the transaction on its registry today and open the process to public submissions, as it seeks to determine whether a deal would substantially lessen competition in the Western Australian media sector.

“We see the potential for a positive and growing future for The Sunday Times brand, which has been and will continue to be part of the fabric of this great state,” Seven chief executive Tim Worner said in a statement to the Australian Securities Exchange.

“We have always had a strong commitment to Western Australia with Channel Seven Perth and The West Australian and our digital platforms and we are looking to strengthen that commitment.”

Sources said Seven, which owns Perth’s only weekday metropolitan newspaper, The West Australian, and News Corp had agreed upon the commercial terms for the deal. It is believed the sale price will be about $12 million-$15m.

Publishing The Sunday Times one day a week is believed to be unsustainable and merging the newspaper into a daily operation will boost its profitability.

Seven said part of the agreement would involve The West Australian implementing a content-sharing arrangement with News Corp metropolitan newspapers around the country, which was also revealed by this newspaper

A deal would allow News Corp to divest its WA printing assets and the company will strike a printing and distribution arrangement with Seven for its national broadsheet The Australian. Seven owns free-to-air television business the Seven Network, which is particularly dominant in Perth.

Seven said the investment would earnings accretive in its first year and could lead to print synergies and scale benefits.