Nine confirms exit of CFO Greg Barnes

Nine is looking for a new CFO as Greg Barnes exits ahead of the broadcaster’s first full-year post-Fairfax merger results.

Greg Barnes, right, with Nine boss Hugh Marks. Pic: John Feder

Nine Entertainment’s chief financial officer, Greg Barnes has made a sudden exit, leaving the broadcaster without a crucial executive with a takeover of radio network Macquarie Media still live and the $4 billion integration of the Fairfax Media business underway.

The announcement, comes after The Australian’s DataRoom column on Tuesday exclusively revealed online that Mr Barnes’ was planning a departure and Nine’s had launched a search for a new chief financial officer.

Investors were taken by surprise as Nine confirmed yesterday that Mr Barnes will finish with the company after the release of its full financial results next Thursday.

Speculation had been mounting as to whether Mr Barnes would remain in his role as CFO following the broadcaster’s $4 billion merger with publisher Fairfax Media last year, but it is highly unusual for an CFO to exit while major integration is underway without a succession plan in place. During mergers the office of CFO is critical for keeping track of merger targets and integration savings.

The exit also comes after Nine on Monday outlined an buyout plan for the shares of radio broadcaster Macquarie Media it does not already own, with an offer valuing the radio network at $275.4 million.

Nine, which owns mastheads The Sydney Morning Herald, The Age and The Australian Financial Review, inherited a 54.5 per cent stake in Macquarie Media following its merger with Fairfax Media. On Monday Macquarie revealed Nine had lodged a confidential $1.46 a share cash offer for the remainder stake.

Last week Macquarie Media posted a 32.9 per cent fall in underlying net profit to $14.4m, linked to challenging advertising conditions.

Mr Barnes joined Nine more than three years ago after holding the same role at buildings material provider CSR for seven years. Mr Barnes has also held senior roles with Dyno Nobel and De La Rue.

The executive said he was “looking forward to his next challenge”, although it is not clear where he is headed.

The Australian understands two short-listed candidates are in the running for the role, with recruitment firm Spencer Stuart hired to find a replacement.

“I have thoroughly enjoyed my time at Nine. We have achieved a great deal during that period, not the least of which was the completion of the merger with Fairfax – it’s been an exciting time,” Mr Barnes said.

In an internal note to staff, Nine chief executive Hugh Marks said Mr Barnes had made a “significant contribution” to the business, and thanked him for his work.

“He has played a key role in helping us carefully balance investing in the right content for the Nine business, while also ensuring we successfully managed our costs and deliver on what we promised to our shareholders,” Mr Marks said.

“Media was a new adventure for Greg but one that he has taken to with enthusiasm. Not only was he a key player in our merger with Fairfax Media but he has also served as chairman of CarAdvice and a director of Stan, helping oversee the growth and expansion of these important businesses.”