eMedia: Not a pretty picture, but still worth watching
Share trading patterns at television broadcasting conglomerate eMedia Holdings do not make for easy viewing
Share trading patterns at television broadcasting conglomerate eMedia Holdings do not make for easy viewing. Over three years, the group’s low-voting N-shares and ordinary shares are down more than 65%.Admittedly, a lot has gone wrong. First, de facto eMedia boss Marcel Golding — the man who built up key subsidiary e.tv — suddenly departed. This meant Hosken Consolidated Investments (HCI) CFO Kevin Govender had to endure prolonged tenure as acting CEO of the highly specialised business.Investor sentiment has also not been helped by horrendous illiquidity in the group’s shares. HCI holds almost 78% of eMedia’s ordinary shares and 85% of the N-shares. Trading is consequently scant, and a disturbing — or "compelling", if you’re a deep value investor — disconnect has been set on the price of these shares.Arguably the biggest slayer of sentiment was eMedia’s decision to establish OpenView, a free-to-air satellite television platform. The upfront development, operating and marketing costs...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.