CanWest casting eye across the ditch

Canadian media tycoon Leonard Asper is enjoying visiting the remotest outpost of his family's scattered broadcasting and publishing empire.

"I love this country and the people remind me a lot of Canadians," said Asper as he mingled with shareholders at CanWest's annual meeting in Auckland yesterday.

As the chief executive and president of CanWest Global Communications, Asper oversees a media group with assets in Canada, Australia, New Zealand, Ireland and the United States.

The youngest child of tax-lawyer turned media mogul Israel Asper, who died last year at 71, Asper has a reputation for being outspoken and opinionated.

Liberal media laws have allowed CanWest to become a dominant media force in its home market - too dominant, say many of Asper's critics. They also made the family, now worth an estimated C$1.13 billion ($1.30 billion), very wealthy.

They are now looking to Australia. Present Australian media laws prevent one organisation from owning newspapers, television and radio broadcasting licences that serve the same region. But with a strong election win behind him, Australian Prime Minister John Howard has signalled a loosening of such laws.

"It'll be long overdue if it indeed happens," said Asper. "We'll remain sceptical until the law changes."

Media company valuations have surged in anticipation.

"It won't turn into the wild west all of a sudden," he said. "We're not sure what our next move in Australia is. And it wouldn't mean we'd necessarily go into another medium."

The media industry shake-up set to take place in Australia in the next few years is also of concern to CanWest's local chief executive, Brent Impey, who is keeping a close eye on developments.

"It will automatically have an impact in New Zealand due to the extent of common ownership across the Tasman. We have to be ready and prepared."

CanWest has a firm toe-hold in the Australian TV market with the successful Network Ten broadcaster, in which it has a 57.5 per cent stake.

But in spreading its wings it faces formidable competitors in the form of News Ltd, Publishing & Broadcasting, John Fairfax Holdings, Herald publisher APN News & Media and even Telstra.

Asper said CanWest would use Ten as the launchpad for any expansion in Australia but the Canadian model of cross-media ownership the company had pursued would not necessarily be replicated in Australia.

Some analysts see CanWest hitting the acquisition trail once media-ownership laws are loosened.

"CanWest has done extremely well in Australia and has surpassed Channel 7. They have positioned themselves extremely well in the upper young age group (24 to 34)," said Sydney-based media analyst Paul Budde.

"They certainly will be a player. Once the action starts, I would suggest them to be a buyer rather than a seller."