Could former oOh!Media chairman Michael Anderson be returning?

Brendon Cook, chief executive, oOh! Media

The announced departure of former oOh!Media chairman Michael Anderson from his position as chief executive of broadcaster MediaWorks across the Tasman has some wondering whether he could be returning to his former employer in a different capacity.

Mr Anderson was hired in 2016 to run MediaWorks, which owns free-to-air channel TV3 and a portfolio of some of New Zealand’s most popular radio stations. Before that appointment, Mr Anderson was the oOh!Media chair.

It is understood that he will be carrying on at MediaWorks until the end of this year.

The timing is interesting, given that oOh!Media boss Brendon Cook is also leaving. He will finish up at the billboard company he founded around the same time.

Some believe it is more than a coincidence, and that after a prolonged search for Mr Cook’s replacement at a time the company needs a strong performer, there is a fair chance that Mr Anderson could be lined up to take the role.

Mr Anderson is highly regarded, having run one of Australia’s largest commercial radio groups, Austereo (now part of Southern Cross Media Group), for seven years before his tenure on boards.

He lifted Austereo’s earnings by increasing revenue and audience share.

Should he take on the job, it will have its challenges, with outdoor advertisers the hardest hit in the industry, plummeting by about 75 per cent year-on-year during the pandemic as consumers shy away from airports, public transport and shopping malls.

The company is also facing a strong challenge from the Quadrant Private Equity’s recently acquired rival QMS, which has moved to assert itself in the local market by taking the City of Sydney outdoor advertising contract from global industry giant JC Decaux.

Given the challenging conditions, some think that oOh!Media may need to raise further equity after tapping the market for $167m in March, although it denies another capital raising is on the cards.