But on New Year’s Eve, notice was lodged with ASIC that one Gutenberg Investments Trust (named for the man who introduced printing to Europe) had purchased 0.15% of Fairfax, a holding worth close to $2 million. Headed by Rinehart’s long-time family ally John Singleton and investment banker Mark Carnegie, the consortium has lodged a ‘consultation agreement’ with the ASX, which outlines their plans to work with Rinehart
Gutenberg’s stake is small, but Singleton’s presence on the Fairfax register helps Rinehart’s arguments that the charter of editorial independence should not be used to keep her from the board. Singleton says the charter should be seen rather more flexibly.
”I was on the board of Fairfax when Sir Zelman Cowen was chairman of the board some 20 years ago, when the existing Fairfax Charter of Independence was drawn,” he said in a statement. “There is no reason why a group of eminent and experienced Australians should not review the charter to ensure and enable its relevance for today, and the current very challenging times for the media.”
Amid all the intrigue, Fairfax Media has ploughed ahead with its digital strategy, announcing on December 21 its purchase of technology investment company Netus for an undisclosed sum.
Netus, which says its investments have achieved an internal rate of return across their portfolio of more than 50%, owns Allure Media, one of Australia’s leading digital journalism companies. Its niche publications – which include gaming site Kotaku, geeky life guidance site Lifehacker, and technology site Gizmodo – command a loyal readership among young professionals.
Fairfax CEO Greg Hywood said in a statement that the purchase will bolster Fairfax’s digital experience and expertise.
3) Westpac chairman says plenty of his tech budget goes on cyber-security
Speaking of things digital, on Sunday Westpac chairman Lindsay Maxsted revealed the bank fights off frequent cyber attacks, meaning online security takes up a huge chunk of the bank’s technology budget.
Maxsted is also the chairman of toll-road operator Transurban and mining company BHP Billiton.
“All three of us – Transurban, Westpac and BHP – are susceptible,” he told The Australian Financial Review. “The bank is continually attacked by criminal elements and so a large part of its IT spend is on security around its systems.”
4) Hancock Prospecting files accounts, revealing Rinehart millions
Hancock Prospecting, Gina Rinehart’s mining company, has for several years been fighting to keep its accounts private, arguing that to release them would make public commercially sensitive arrangements regarding its joint venture with Rio Tinto.
On December 24, the company withdrew its dispute in the Administrative Appeals Tribunal, and on the same day finally handed in two long-overdue financial reports for the financial years ending 2010 and 2011.
Under the corporations act, companies, including privately-held ones, have to file their reports with ASIC within four months of the end of the financial year.
Hancock Prospecting made an annual profit of $688 million based on $1.41 billion in revenues in 2010, a figure that almost doubled the following year, when it made $1.2 billion in profits off $2.37 billion in revenues.
The accounts only go up to the end of financial year 2010-2011, and so don’t reveal how Hancock has recently fared given the slip in commodity prices in the second half of 2012. However, the Bloomberg Billionaires Index, released on January 1, estimated Rinehart’s wealth to have fallen 7.9% to $US18.6 billion, making her the 39th richest person in the world (down one spot from 38th).
Myriam Robin is a reporter for SmartCompany and its sister site LeadingCompany. She has degrees in economics, international studies and journalism. She likes writing about businesses taking risks and doing new things.
