Southern Cross Austereo (SCA) has enlisted recruitment firm, Korn Ferry, in the succession planning for chief executive Grant Blackley, who has been in the role since 2015, according to the Sydney Morning Herald.
The radio and television company is exploring its options in the industry for its next leader as the company deals with falling share price and concerns the organisation is not in a position of growth, the publication reported.
A number of anonymous sources told the publication that the firm was hired by the SCA board earlier in the year to begin the process of the search.
Blackley has kept a low profile and was not in attendance at several public events this year including the farewell of the Commercial Radio Australia’s chief executive Joan Warner – despite being the CRA chairman.
The radio boss was also noticeable absent from a media executives meeting last month with prime minister Scott Morrison, along with Nine’s Mike Sneesby, Seven West Media’s James Warburton and Paramount’s Beverley McGarvey.
An SCA spokesperson told the publication: “SCA has performed a succession review of key executives each year for the last five years. This is the first year SCA has engaged Korn Ferry to assist in this process.”
“This work includes advising about potential internal and external candidates for senior executive roles at SCA. The board has not briefed Korn Ferry or any other party to search for a new CEO nor for any other senior executive role,” they added.
SCA, which owns Triple M and Hit radio networks, shares have fallen nearly 80 percent when Blackley took over when capital raising was completed in May 2020 when the company raised $169 million through issuing new shares to support the company amid a revenue hit due to the pandemic. Shares in the $442 million company have fallen by 29 per cent since November 2020, according to the publication.
The company, one of the last ASX-listed media companies, has not benefitted from other recent industry mergers including Nine Entertainment Co, Network Ten’s privatisation or Seven West Media’s acquisition of Prime Media.
Southern Cross Austereo has also failed to recover in radio ratings since loosing Sydney breakfast radio stars Kyle Sandilands and Jackie ‘O’ Henderson in 2014, who left to join KIIS FM.