By Susan Edmunds, RNZ News money correspondent
The Aotearoa New Zealand union representing many of NZME’s journalists says it is “deeply worried” by a billionaire’s plans to take over its board.
Auckland-based Canadian billionaire Jim Grenon is leading a move to dump the board of media company NZME, owners of The New Zealand Herald and NewsTalk ZB.
He has told the company’s board he wants to remove most of the current directors, replace them with himself and three others, and choose one existing director to stay on.
He took a nearly 10 percent stake in the business earlier in the week.
Michael Wood, negotiation specialist at E tū, the union that represents NZME’s journalists, said he had grave concerns.
“We see a pattern that has been incredibly unhealthy in other countries, of billionaire oligarchs moving into media ownership roles to be able to promote their own particular view of the word,” he said.
“Secondly, we have a situation here where when Mr Grenon purchased holdings in NZME he was at pains to make it sound like an innocent manoeuvre with no broader agenda . . . within a few days he is aggressively pursuing board positions.”
What unsaid agendas?
Wood said Grenon had a track record of trying to influence media discourse in New Zealand.
“We are deeply concerned about this, about what unsaid agendas lie behind a billionaire oligarch trying to take ownership of one of our biggest media companies.”
“We are deeply concerned about this, about what unsaid agendas lie behind a billionaire oligarch trying to take ownership of one of our biggest media companies.”
He said it would be important for New Zealand not to follow the example of the US, where media outlets had become “the mouthpiece for the rich and powerful”.
E tū would consult its national delegate committee of journalists, he said.
Grenon has been linked with alternative news sites, including The Centrist, serving as the company’s director up to August 2023.
The Centrist claims to present under-served perspectives and reason-based analysis, “even if it might be too hot for the mainstream media to handle”.
Grenon has been approached for comment by RNZ.
Preoccupations with trans rights, treaty issues
Duncan Greive, founder of The Spinoff and media commentator, said he was a reader of Grenon’s site The Centrist.
“The main thing we know about him is that publication,” Greive said.
“It’s largely news aggregation but it has very specific preoccupations around trans rights, treaty issues and particularly vaccine injury and efficacy.
“A lot of the time it’s aggregating from mainstream news sites but there’s a definite feel that things are under-covered or under-emphasised at mainstream news organisations.
“If he is looking to gain greater control and exert influence on the publishing and editorial aspects of the business, you’ve got to think there is a belief that those things are under-covered and the editorial direction of The Herald isn’t what he would like it to be.”
Greive said the move could be connected to the NZME announcement in its annual results that it was exploring options for the sale of its real estate platform OneRoof.
“There are a lot of investors who believe OneRoof is being held back by proximity to the ‘legacy media’ assets of NZME and if it could be pulled out of there the two businesses would be more valuable separate than together.
“If you look at the shareholder book of NZME, you don’t image a lot of these institutional investors who hold the bulk of the shares are going to be as excited about editorial direction and issues as Grenon would be . . . but they would be excited about the sale of OneRoof.”
Wanting the publishing side
Greive said he could imagine a scenario where Grenon told shareholders he wanted the publishing side, at a reduced value, and the OneRoof business could be separated off.
“From a pure value realisation, maximisation of shareholder value point of view, that makes sense to me.”
Greive said attention would now go on the 37 percent of shareholders whom Grenon said had been consulted in confidence about his plans.
“It will become clear pretty quickly and they will be under pressure to say why they are involved in this and it will become clear pretty quickly whether my theory is correct.”
This article is republished under a community partnership agreement with RNZ.
