Updated ,first published
Seven West Media’s former long time commercial director and one-time Kerry Stokes consigliere Bruce McWilliam has built up a near-10 per cent stake in the company that recently bought the television network.
Seven and radio company Southern Cross Media merged just four months ago, triggering a contest for control between camps aligned with each side that led to the ousting of numerous executives and the resignation of the company’s chairman.
Now McWilliam, who was for many years Stokes’ right-hand man when the billionaire was the controlling shareholder of Seven, has emerged as a key player, purchasing 4.2 per cent of Southern Cross’ shares on Wednesday morning for about $11.2 million.
This takes McWilliam’s stake in the company to 9.5 per cent, making him one of its top individual shareholders. He purchased a 5.3 per cent stake just last month.
The trade was first reported by The Australian Financial Review on Wednesday morning. Sources familiar with the deal, who were not authorised to speak publicly, confirmed to this masthead McWilliam was behind it.
McWilliam is expected to seek a seat on the board, though the timing of that is unclear. He left Seven in early 2024. McWilliam, who has previously advised several media moguls, including the late Kerry Packer and Rupert Murdoch, was contacted for comment.
As well as his work as a lawyer and adviser, McWilliam has become personally wealthy through property investments.
Southern Cross’ chair Heith Mackay-Cruise announced earlier this month that he would resign from the position immediately and leave the board altogether at the end of June. Director Teresa Dyson became the company’s fourth chair in as many months. Dyson is a former Seven West Media director.
The Stokes family remains Southern Cross’ largest shareholder despite the takeover agreed last year diluting their share from 40 to 20 per cent.
The initial deal saw Seven’s chief executive Jeff Howard appointed CEO of the combined company, while Stokes handed over the chairmanship to Southern Cross’ chair, Mackay-Cruise, in February. Howard was ousted just days after Stokes stood down.
What followed was a purge of senior Seven executives including television boss Angus Ross, who was made redundant, indicating the deal was more a takeover than merger of equals.
This did not last long, however, with Mackay-Cruise stepping down three days after the company appointed its new chief executive, former Seven and NRMA executive Rohan Lund. The company is now planning to ask shareholders to change its name to Seven Media.
Ross is expected to return to the company formally in the coming weeks to oversee the television division, with heads of sport, news and entertainment reporting to him.
Southern Cross’ freshly minted chief executive, Lund, will bring Southern Cross executives together in Sydney this week for a leadership getaway at the Coogee Intercontinental Hotel.
McWilliam played a key role in disgraced soldier Ben Roberts-Smith’s failed defamation case against The Age and The Sydney Morning Herald. Roberts-Smith is now facing five counts of war crimes charges. He has always denied wrongdoing.
Stokes, who bankrolled Roberts-Smith’s legal action via Seven and then through his personal company, eventually paid the mastheads’ legal costs. That headed off a costs dispute in which McWilliam’s extensive correspondence with Roberts-Smith’s legal team would have been made public.
The Business Briefing newsletter delivers major stories, exclusive coverage and expert opinion. Sign up to get it every weekday morning.
