Gould corners more ad firms

Sharemarket dealmaker George Gould has snapped up two more billboard companies for the roll-up that began with the purchase last year of Waho in Christchurch.

Gould Holdings claims the Waho group is similar in size to the second-largest outdoor advertising company, Oggi, after buying I-site in Auckland yesterday and Kool in Wellington before Christmas.

The biggest is Look, a joint venture between APN News & Media - the publisher of the New Zealand Herald - and Clear Channel.

The chairman of the Waho group, Richard Austin, said the purchases more than doubled the size of the business, to 350 sites, with another 50 under development.
He said Gould Holdings, of Christchurch, had spent more than $5 million on billboard companies.

The owner of Oggi, Gordon Frykberg, believes the purchases are a precursor to a sharemarket float.

"He needs enough media clout and he also needs to talk it up - which is what he's doing," said Frykberg, referring to the company's statement on the purchases.

Frykberg welcomed consolidation, which would help the industry fight with other media - such as press, television and radio - for advertising dollars.

Gould Holdings' investments include a 54 per cent stake in Mike Pero Mortgages, 24.6 per cent of textile business Pod and a past 19.9 per cent stake in plastics company Vertex.

Interests connected with Gould own about 60 per cent of the company, while the Rutherford family, of north Canterbury, owns about a third and accountant Kevin Arscott holds about 7 per cent.

The company's planned biggest investment is the Waiorau Snow Farm vehicle proving ground in the Pisa mountains between Wanaka and Queenstown - a deal announced on December 28 but yet to be completed.