Media Prima has announced that it “is embarking on the next phase of its business transformation exercise”. According to a press statement, the group will ensure that all affected employees will receive a fair and equitable compensation package governed by the law, and respective union requirements which will be paid in full upon the fulfilment of all legal requirements.
It added that the group will also provide support to staff which includes job outplacement services and career counseling. A+M has reached out for more details from Media Prima.
As part of the change, Media Prima will change its overall business model and restructure internally. With this it hopes “to enable the group to be future proofed and sustainable” given the uncertain macroeconomic conditions and disruptive changes in the global and local media sector.
The restructuring exercise is expected to be completed by first quarter of 2020. The release also added that moving forward the group hopes to bring some of Malaysia’s highly followed and media brands and content to audiences.
Meanwhile in October, Media Prima appointed Iskandar Mizal to the role of group executive director, effective 1 October 2019. Reporting to the group managing director, Iskandar is key in assisting the group in its transformation and turnaround initiatives. Iskandar has over 30 years of experience with several companies ranging from multinationals to government-linked companies, spanning from investment banking to the technology sector. He currently serves on the boards of Theta Edge and Globetronics Technology.
His hire came shortly after the group announced its financials where it saw a 19% dip in its traditional advertising revenue for the first half of its 2019 financial year (H1 2019) ended 30 June. But the decline was part partially mitigated by growth in group commerce revenue led by Media Prima’s home shopping segment, CJ WOW SHOP, according to the financial statement. CJ WOW SHOP remains on the upswing with revenue rising 19% RM114.3 million in H1 2019 compared to RM96.0 million during the same period last year.
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