Southern Cross Media Group Ltd

SXL: XASX (AUS)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	A$9.30	Tdq	Wzmjrmrp

Southern Cross Media: Takeover Bid Is Opportunistic

Brian Han ,

Oct 19, 2023

No-moat-rated Southern Cross Media's nonbinding indicative proposal from ARN Media is too cheap. While the proposal represents a 29% premium compared with the price prior to the approach on Oct. 17, 2023, it is 45% below our unchanged fair value estimate of AUD 1.70 per share. We think the takeover bid is opportunistic, capitalizing on weakness in both regional TV and digital audio segments.

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