Mr Gordon is prevented from owning more than 15 per cent of Nine shares by the “one to a market rule” which prevents a single entity owning above that threshold in two television broadcasters in the same area. Nine broadcasts NBN in and around Newcastle and Mr Gordon owns broadcasting assets in northern NSW.
The media mogul has held the swap with Deutsche Bank since early 2016 and has steadily increased it over almost three years.
Mr Gordon became Nine’s largest shareholder in October 2015, pouncing on a selldown by United States hedge fund Apollo to take his stake to 14.95 per cent at the time.
His agreement with Deutsche Bank did not leave him with Nine shares; rather, he has received the cash difference between where the share price was when the swap was agreed and where it finishes.
He has now gone into the market and bought more Nine shares after winding down the share swap with Deutsche Bank.
The move was foreshadowed by The Australian Financial Review, which is owned by Nine, in November. The Financial Review also revealed Mr Gordon had begun increasing his interest in Nine via equity swaps in July, following the announcement of the merger of Nine and Fairfax.
from Just News Viral http://bit.ly/2CYoWTn
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