Heith Mackay-Cruise to exit Southern Cross Austereo as leadership reshuffle continues
Heith Mackay-Cruise will step down as chair of Southern Cross Austereo on June 30, marking the latest development in a period of significant leadership change following the merger with Seven West Media.
The company confirmed Teresa Dyson, a current non-executive director and long-time Seven West Media board member, will assume the role from July 1. Dyson, who joined Southern Cross in November 2017, is expected to oversee the next phase of the merged entity.
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The transition comes amid broader board and executive upheaval, with influential shareholder Sandon Capital recently calling for the removal of several directors, including Mackay-Cruise. Sandon’s chief investment officer Gabriel Radzyminski welcomed the change.
“We look forward to engaging with the board and other shareholders about the long-term future of the company.”
said Gabriel Radzyminski,
Mackay-Cruise, who spent six years with Southern Cross including two as chair, played a central role in engineering the merger with Seven West Media. However, the deal has come under scrutiny, with the combined company’s market capitalisation falling from about $430 million prior to the merger to roughly $287 million this year.
In a statement, Mackay-Cruise said:
“I believe SCA is well-positioned for the future, and it is the right time for me to move on to other challenges.”
Heith Mackay-Cruise
His departure follows a series of high-profile exits and appointments. Former Seven West Media chief executive Jeff Howard, initially slated to lead the merged business, was removed shortly after the deal. John Kelly, who previously led Southern Cross, served as interim chief before the appointment of Rohan Lund as chief executive and managing director in April.
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In a message to staff, Lund acknowledged his predecessor’s contribution.
“He leaves with our gratitude for his stewardship of SCA for the last six years and for his work bringing these two great companies together.”
said Rohan Lund,
Outlining his priorities, Lund said:
“We need to hustle for the revenue we deserve.
We need to reset our costs quickly so we have the capacity to do what we do best.
We need to meet our audience on any device, at any time,”
added Rohan Lund,
He also reflected on returning to the sector.
“There is something very special about working in media.
It’s tumultuous and bumpy.
It’s thrilling and joyous.
I really missed it,”
added Rohan Lund,
According to people briefed on internal plans, Lund is restructuring the business into three divisions — audio, publishing and television — with Kelly expected to lead audio and Maryna Fewster overseeing publishing. A head of television is yet to be appointed.
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The boardroom changes come as speculation continues over control of the merged company. Former Seven commercial director Bruce McWilliam has built a stake of more than 5 per cent, worth about $14 million, and has indicated an interest in joining the board. However, the company has stated it is seeking “independent non-executive directors”, which may complicate his prospects given his long association with Kerry Stokes.
Stokes’ influence remains significant, with SGH Limited holding a 20 per cent stake and Ryan Stokes retaining a board position. Marina Go will also remain on the board with SGH’s backing, while Ido Leffler is expected to step down later this year.
Operationally, the company faces ongoing challenges. Free-to-air television revenue has declined year-on-year in 43 of the past 48 months, falling by an average of 10 per cent annually, while radio revenues have also softened, albeit at a slower pace.
The merger, which combined assets including the Seven Network, Triple M radio and The West Australian, was intended to create scale, with approximately $1.8 billion in revenue and $215 million in earnings. However, investor sentiment has weakened since the deal was completed.
Internally, Lund acknowledged the strain on staff during the transition.
“I can also see it hasn’t been easy.
So much change, so many new pressures, so much uncertainty, and for many of you, that original excitement for the business has been buried under the daily grind,”
stated Rohan Lund,
The company has confirmed it will begin a search for additional directors as part of its board renewal process.
Heith Mackay-Cruise will step down as chair of Southern Cross Austereo on June 30, with Teresa Dyson to assume the role from July 1 at the merged Seven West Media–Southern Cross Austereo group.
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