Sydney Morning Herald Owner Plans Property Listings Spinoff
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Separate listing for Domain would be completed by end of 2017
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Fairfax would own between 60% and 70% of standalone entity
Sydney Morning Herald-publisher Fairfax Media Ltd. is considering hiving off its property-listings business, turning the group’s main earnings engine into a new Fairfax-controlled entity as media income shrinks.
Fairfax shares soared the most in three years after it said Domain Group could be listed in Australia by the end of 2017. Fairfax will retain between 60 percent and 70 percent of the new entity and shareholders will receive stock in Domain, it said in a statement Wednesday.
A separate listing for Domain would put a market value on Fairfax’s biggest profit generator for the first time, while still channeling most of its earnings back to the group. Domain is probably worth between A$2 billion ($1.5 billion) and A$3 billion, according to Credit Suisse Group AG, potentially dwarfing Fairfax’s entire current market value…
Sydney Morning Herald Owner Plans Property Listings Spinoff
