The sale price is NOK 2.5 billion, with settlement in Schibsted shares, the Trondheim-based media group reports in a stock exchange and press release on Friday morning.
The transaction is carried out by Polaris Media subscribing for B shares in Schibsted for NOK 2.5 billion through a private placement. The subscription price for the shares will be based on the average of the daily volume-weighted price for Schibsted’s B share, in the period from and including 19 April to and including 3 May 2024.
Based on the price so far in the calculation period, Polaris Media becomes Schibsted’s fourth largest shareholder. The media group Schibsted has also quite recently decided to split the company in two, into a pure media company with newspapers such as VG and Aftenposten which are not on the stock exchange, and a publicly listed marketplace company.
– We are very pleased that we have reached an agreement with Schibsted on this transaction. This raises our original investment of NOK five million in Finn to a new level, where our Finn shares are exchanged for shares in Schibsted ASA for a total transaction value of NOK 2.5 billion, says Per Axel Koch, CEO of Polaris Media.
These housing ads have received the most clicks in Trondheim
Leading online
Finn.no was established in 2000 by the regional newspapers Aftenposten, Bergens Tidende, Stavanger Aftenblad, Fædrelandsvennen and Adresseavisen, as a joint investment in online classified ads, at a time when the market for this type of advertising was moving from paper newspapers to online solutions. Since its establishment, Finn.no has grown to become Norway’s leading online marketplace.
– The value development in Finn has been strong, and the investment has given us as a minority shareholder a good financial return. During our ownership, we have received a total of approximately NOK 970 million in dividends and remuneration for selling down from an ownership stake of 11.36 per cent to 9.99 per cent, says Koch.
The CEO is also pleased that Polaris Media will now become a shareholder in the media giant Schibsted, which is a Nordic giant in digital marketplaces.
– With settlement in Schibsted shares, Polaris Media will still have a significant exposure within online classified ads, but now expanded to the Nordic market through Schibsted Marketplaces. In addition, with this transaction we will exchange an illiquid position in Finn for fully liquid listed shares in Schibsted. This gives us strong financial flexibility for the further development of Polaris Media as a media group, says Per Axel Koch.
Adresseavisen owns
The shares in Finn are currently owned by Polaris Media’s wholly owned subsidiaries Adresseavisen AS (9.96 per cent) and Polaris Media Nord-Norge AS (0.03 per cent).
The transaction is conditional on Schibsted’s general meeting, which will be held today, 26 April, renewing the authority the board of Schibsted has to issue new B shares for an amount up to 10 percent of the B share capital.
Through the shareholding in Schibsted, Polaris will also receive part of the extraordinary dividend that is distributed as a result of Schibsted’s sale of the classifieds company Adevinta. Koch predicts to the Kampanje website that they will receive around NOK 700 million “before too long”.
Strong growth for Adresseavisen: – Pleasant figures
MN24 and the partner newspapers Adresseavisen, Avisa Sør-Trøndelag, Bladet, Brønnøysunds Avis, Fosna-Folket, Frøya, Hitra-Frøya, Innherred, Klæbuposten, Opp, Steinkjer24, Stjørdals-Nytt and Trønderbladet are owned by Polaris Media, and employees of these newspapers can own shares in Polaris Media.
