Say goodbye to Seven on the Unmade Index
Today is the last time Seven West Media, which hasn’t been tradeable since Boxing Day, appears on the Unmade Index. It remains — although the Southern Cross Austereo/Seven merger was completed today — because the new beefed up SCA won’t formally incorporate the new SWM shares until tomorrow.
For now, SCA (ticker still the same old SXL) shows a market cap of $188m. Tomorrow it will read more like $380m, depending on what happens when trading in the new SXL commences.
Will those disgruntled SCA shareholders who didn’t get a vote on swallowing the bigger fish actually unload? Activist investor Sandon Capital triggered a notice on the ASX this afternoon when it sold just over 721k shares … but the headline of its voting power reducing from 11.3% to 5.5% was just mathematics and timing. That 721k sell-off (reflected in the stock finishing 1.27% down today) was a fraction of Sandon’s holdings, with almost all the voting power reduction a result of the SWM-induced dilution.
