Authentic Entertainment in talks to be bought out by Southern Cross Austereo
Regional media player Southern Cross Austereo (SCA) is in talks to buy out troubled branded content company Authentic Entertainment.
Despite media reports that a deal has been reached, a spokeswoman for SCA this morning confirmed that the negotiations were still ongoing.
“We are in discussions with Authentic Entertainment regarding the purchase of their assets,” said an SCA spokeswoman. ‘We will make an announcement if and when the transaction is completed.”
The Music Networkhas reportedthat the company known for producing syndicated national radio programs Take 40, My Gen and Planet Vevo will shortly close its Sydney, Melbourne and Auckland offices.
Authentic Entertainment has had a troubled time of late with the company undergoing a major shake up in May of 2015 with a number of senior management leaving the business with founder Tony McGinn stepping back in to lead its media arm.
McGinn
Then in October of last year Authentic chief executive John Wardley left the business following the formal launch of the firm’s new full service creative division, Authentic Creative Lab.
This was after the wider group announced losses of $2.8m for the 2014-15 financial year.
According to the Music Network, a small number of employees are expected to move over to SCA’s Goulburn St headquarters while the Authentic Entertainment brand will be dissolved.
Any deal is likely to have interesting implications for other stations with the potential for SCA to end up producing and selling My Gen show for its rival ARN.
Karma
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Does this mean that the MCM shares I bought years ago that then disappeared when MCM delisted and relaunched as Authentic Entertainment will be paid out?
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The company reeks of boys club management attitude.
Anyone who has worked for them will know how hard it is to be innovative.
AM have fallen on their own sword. Management are stuck in the 1980’s and still feel the world / advertisers should be knocking on their door and no one else compete’s with them.
SCA, you need to get rid of the stench of Brutt 33 in the office before you will start to make a difference.
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Is this what happens to buzz words like ‘branded content’?
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Such a sad ending for a company that had so many awesome people go through the ranks. Whilst there is going to be a lot of negative comments off the back of this ending, it’s important to remember the best years and how amazing the people who worked there were.
This place kicked started my career and I couldn’t be happier for the best friends I made – remember the good things when the bad times come along.
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#CommentWatch2016
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I agree. I appreciate Authentic for taking me in as someone fresh out of tafe and opening the door to a media career. Many good times. Was sad to face my first redundancy experience a year and a half ago but could not be happier at my new workplace. I hope everyone lands on their feet.
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What exactly are SCA buying?
I wouldn’t go near it. It’s a dog with fleas.
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Best of luck to all the talented and dedicated staff who have held on through a rough few years.
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100% agree! I’ve had so many good times at Authentic and it was an absolutely brilliant place to work. We produced some of the most famous gigs with extraordinary talent which some clients still talk about today. The opportunities I received whilst working there will be un-matched & treasured forever, I met my music idols and some of the
people I met are now my best friends. So sad to see it close it’s doors.
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They’re getting first buyer rights on Vevo, Gordon. And possibly the option of disrupting ARN’s show (with their talent), which isn’t really ARN’s show, it just gets played on ARN.
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Management have run this company to the ground, glad I jumped off this sinking ship when I had the chance.
I feel for the employees left to feel the brunt of this mess. But – Im pleased that finally the false sense of security and constant empty promises provided by the senior management team to their staff and clients will eventually come to a stop.
Nevertheless, I’m pleased to have worked alongside great, talented co-workers who tried as hard as possible to keep going even though their ideas for change were consistently falling upon deaf ears.
SCA – I hope you can turn this one around because Vevo is a killer product.
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I also need to agree with Ex-Authentic’s comments by saying that MCM/Authentic made me the business person i am today.
Authentic Entertainment in many ways lead from the front in pioneering new areas that others organisations have only now just really started to capitalise on.
Then there is the people I had worked with for the 8 years i was there. Literally some of the smartest, talented and knowledgeable people in media who are capitalising on senior roles in the market – especially in sales.
The door maybe shut but the memories live on.
Thanks for the good times MCM/Authentic
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In my three years at MCM / Authentic the only thing I learnt was how to lose money and waste incredible opportunities. Good people, bad management, outdated products. Save your cash SCA!
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So finally the car crash we all saw coming for years has happened.
Unfortunate that two great businesses (MCM and Igloo) full of awesome talent were decimated by the blind stubbornness, stupidity and ego of the man at the top.
At least now, finally, the mic has been switched off on TM though I am sure he has some how spun it into something positive and we should all “watch this space”.
I really hope he gets nothing out of this deal and at least gets a taste of what the countless people he made redundant over the years went through. Somehow I think he probably paid himself a huge bonus given the salary he was paying himself to run the business into the ground.
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Looks like the camp fire has finally gone out. Has been burning McGoo’s dried up bulls&$t for years now.
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!!Just Announced!! -In a bold new move Authentic rebrands itself once again. Now called ”Redundant’. #watchthisspace
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Peace, love & best wishes to everyone affected.
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the irony is the only “asset” the company has is a deal brokered by the exec the board disposed of.
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I wonder if McGinn now recognises his mistake? Siphoning millions of dollars out to two well performing agencies to prop up Movideo for a significant period of time. Ousting board members, shareholders and eventually his CEO for urging him to stop such activities was the beginning of the end. It is really quite sad that McGinns ego has been the undoing of a once incredibly successful Australian company that he himself worked hard to establish.
Such intelligent, hard working and talented individuals have walked the halls of Level 4 in the iconic Pelaco building in Richmond. It’s quite sad to see it all end this way.
Does any else remember that awkward meeting with Darby drawing the bus on the whiteboard with a trailer on the back full of cash?
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警钟应该与世卫组织开始响个不停le Movideo saga, it was only a matter of time before things became terminal. How McGinn won the Vevo goldmine is anyones guess
As for bad decisions, Guvera, Authentic…Scott Hamilton sure is effective. At least the BBC and Yahoo were too big for him to bring down…
Thoughts go to the Authentic staff, redundancies are awful things.
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Ahh the trailer full of cash behind a bus.
I remember it well.
I also remember we joked about the bus and trailer being driven off a cliff.
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Nice try “Ex-Authentic”….. aka Tony McGinn. Mismanaged and now getting its just desserts.
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