American equity giant TPG Capital has no 'imminent' plans to buy out Fairfax, according to a report in The Australian.
It was reported last week that TPG had quietly amassed 35 million shares, amounting to a 4.9 percent stake in the newspaper publisher. However, The Australian reported on Thursday that this was not the case, according to 'people with knowledge of the matter'.
Though the firm has looked at Fairfax - particularly its real estate portal Domain, which the publisher intends to spin off into its own entity - no shares have yet been acquired, according to the report.
Greg Hywood, CEO of Fairfax, said in February that the separation of Domain would be a boon for Fairfax shareholders. “The time is right for Domain to consider taking this next step. It has achieved the scale in revenue, earnings and audience needed to operate as a standalone listed entity. Domain Group CEO Antony Catalano will continue to lead the exceptionally talented management team which is driving the strong performance of the business.
“Domain is well placed as it continues to strengthen its platform and position itself at the centre of Australia’s real-estate ecosystem. By building on its core strength as a listings business, Domain is capturing new revenues from all aspects of people’s involvement with property," Hywood said.
Fairfax shares have risen since the Domain announcement; the publisher plans to retain between 60 and 70 percent ownership in the real estate site.