TV3 Network ready to go public

Business (lead) May 10/2008

Story: Charles Benoni Okine

TV3 Network, the country’s first free-on-air private television network, has stated that it is ready with its Initial Public Offer (IPO) as its prepares to hit the stock exchange to raise funds to embark on an aggressive expansion of its service across the country.
The IPO, when approved by the Securities and Exchange Commission (SEC) will make TV3 the first media organisation to list on the Ghana Stock Exchange which has been one of the major sources where viable companies raise funds for expansion of their business.
The lead brokers on the deal is the First Atlantic Brokers Limited, one of the country’s finest brokerage companies.
Mr Suhaimi Sheihk Muhammad, Chief Operating Officer of the company told the Daily Graphic in an interview that the television station was more poised than ever to be among the elite companies on the GSE to raise funds to also do a satellite transmission of its programmes and replace most of its equipment which were obsolete.
He will not disclose how much the company was prepared to offload on the GSE but sources said the company which is 90 per cent owned by Media Prima Berhad (MPB), the largest integrated media investment group in Malaysia, is seeking to reduce its shareholding to a simple majority.
MPB was established on September 23, 2003 and is listed on the Main Board of Bursa Malaysia (the Malaysian Stock Exchange).
The Group has a diversified interest in both the electronic (TV and radio) and print media apart from content development, event management and outdoor advertising.
Mr Muhammad said the station had contributed to development and enhancement of television in the country and was ready to take to another level by the close of the year.
“We introduced stiff competition in the industry with our rich and very entertaining programmes which includes the Soap Operas, the toast of every family in the country among others”, he said with confidence.
Mr Muhammad said Ghana had become one of the icons on the African continent in terms of peace and stability and as its prepares to launch itself into the another height with its oil find, television must go along with it, hence TV3s resolve to reach the entire with its service.
The television which is 10 years old is now aired in Greater Accra, Ashanti, Eastern, Western and central regions of the country and Mr Muhammad expresed the hope that with the funds to raised from the GSE, the television station will be able to extend its coverage to the five remaining regions.
Asked why the company was unable to carry out its plans some four years ago to list on the GSE, he said the first announcement was to get the company prepared for the move.
“We had to change our structure and drastically improve on the way we do things here because to list on the stock, you have to do things right and be prepared to open up for your shareholders to se whatever there is in the company”, he said.
Mr Muhammad said with these in place, the station was now ready to set another pace in the media landscape.
He said those potential investors will have value for money because “we are not going to give our viewers what we thinks is good for them but we will give what they want”, he said.
Mr Muhammad said the station had set up a department to exclusively deal with research and Development (R&D) adding that “we have also commissioned Research International to do a monthly survey for us and we are investing more in that area to be able to give our customers what they want”.
He said when listed on the GSE, Ghanaians, both individuals and corporate will have the opportunity to be a part of the success story of the company.
Mr Muhammad disagreed when asked whether the company was broke, hence its decision to hit the GSE saying, the expenditure for the expansion was enormous and we needed to raise local funds, besides, we want Ghanaians to be part of a station that had lived up to expectation.
The Chief Executive Officer of TV3, Mr Syed Ahmad Zaidi, on his part expressed delight that at log last, the company has been able to get its acts together to realise its dreams of listing on the GSE.
He disabused the minds of a section of the public that the station was offloading part of its stake because it was preparing to sell the company
Mr Kofi Sampong, Manager, First Atlantic Brokers Limited said the station once listed could be checked and put on its toes to do the right things because the shareholders were going to keep an eagles eye on its operations.