Meanwhile, close to 39 per cent of votes went against the performance rights being awarded to new chief executive John Kelly, who took over from Grant Blackley last year. Southern Cross investors that may have voted against these proposals include two former suitors: rival radio group ARN, which owns Kyle and Jackie O’s Star network, and rich-listers Antony Catalano and Alex Waislitz.

Mackay-Cruise commented on the failed offers from ARN and Catalano/Waislitz, and its current talks to sell its regional TV assets, as indicative of a regulatory environment that constrains innovation, efficiency and the sustainability of the Australian broadcast media business.

“Our largest competitors for audiences and advertising dollars are global giant digital platforms – such as Meta, Google and Spotify – but Australia’s pre-internet regulation severely restricts our ability to compete with them on a level playing field,” he told investors.

He added that, while Southern Cross celebrates its connection to local communities around Australia, without regulatory change to allow consolidation “that connection will in time become economically unsustainable”.

Southern Cross offered investors a performance update that reported total audio revenue was up 4.8 per cent in the September quarter, driven by 48 per cent growth from digital revenue on the back of its LiSTNR digital app.

LiSTNR, which has cost the company about $55 million to date, will break even in cashflow this financial year, chief executive Kelly said.

He also pointed out the entire media sector was at the low point of an economic cycle that had been prolonged by high interest rates.

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“I think you speak to anyone in the media sector, it is still a cyclical game at the end of the day. And yes, the cycle has been very difficult for three to four years. But we do believe, with the inevitable return to some normality [in terms of] the interest rate cycle, it will see a return to more normal conditions,” he said.

Southern Cross shares closed the session 2.7 per cent weaker at 53¢.

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