Media Prima
Media Prima Berhad is a Malaysian media conglomerate and publicly listed investment holding company that operates as the country's largest fully integrated media group, with core businesses spanning free-to-air television broadcasting, print publishing, radio, out-of-home advertising, content production, and digital media services.[1][2] Incorporated in 2000 and headquartered in Petaling Jaya near Kuala Lumpur, the company manages a portfolio of subsidiaries that deliver content and advertising solutions domestically and internationally, employing over 2,000 staff.[3][4] The group's broadcasting arm includes prominent free-to-air channels such as TV3 and NTV7, alongside radio stations under Fly FM and Hot FM, while its print media operations encompass newspapers like New Straits Times and The Edge.[5] Its digital and outdoor segments, including the Omnia division for data-driven media solutions and out-of-home advertising networks, reflect adaptations to evolving consumer trends beyond traditional media.[6] Media Prima's scale positions it as a dominant player in Malaysia's media landscape, with revenue streams diversified across advertising, content licensing, and event management.[7] Listed on Bursa Malaysia under the ticker MEDIA, the company has pursued strategic growth through acquisitions and digital transformation to maintain relevance amid declining print circulation and rising online competition, though it faces challenges from regulatory oversight in Malaysia's controlled media environment.[8]Origins and Formation
Pre-2003 Roots
The origins of Media Prima lie in the print and broadcast entities that preceded its 2003 formation, primarily The New Straits Times Press (Malaysia) Berhad (NSTP) and Sistem Televisyen Malaysia Berhad (STMB). NSTP's lineage extends to The Straits Times, a weekly journal founded in Singapore on July 15, 1845, which initially served British colonial interests in the Straits Settlements.[9][10] Following Singapore's separation from Malaysia in 1965, the Malaysian operations evolved into The Straits Times Malaysia, which was restructured and formally incorporated as NSTP in 1974 to manage independent publishing of English- and Malay-language newspapers, including the New Straits Times and Berita Harian.[11] This established NSTP as a cornerstone of Malaysian print media, with a focus on national news, business, and editorial content reflective of post-independence priorities.[11] In parallel, STMB represented the entry into private broadcasting. Incorporated on December 30, 1983, STMB launched Sistem Televisyen Malaysia (TV3) on June 1, 1984, marking Malaysia's first commercial free-to-air television station and breaking the state monopoly held by Radio Televisyen Malaysia since 1969.[12] TV3 rapidly expanded viewership through locally produced dramas, news, and entertainment, achieving national coverage by the late 1980s via microwave links and satellite relays, while adhering to government licensing under the Broadcasting Act.[13] By the early 1990s, STMB had diversified into production and advertising, positioning it as a key player amid rising competition from later channels like NT7.[12] Both NSTP and STMB operated as subsidiaries under Malaysian Resources Corporation Berhad (MRCB) by the late 1990s, following MRCB's acquisitions amid corporate restructurings in the media sector. This consolidation under MRCB facilitated synergies in content distribution but preceded the 2003 demerger, where these assets were hived off to create a dedicated media entity.[14] Prior to MRCB involvement, NSTP had ties to Fleet Holdings Sdn Bhd, a government-linked investment vehicle, underscoring the intertwined roles of state influence and private enterprise in Malaysian media development.[15]2003 Incorporation and Initial Structure
Media Prima Berhad was incorporated in September 2003 through the de-merger and restructuring of media and multimedia assets previously held by Malaysian Resources Corporation Berhad (MRCB), enabling MRCB to refocus on its core businesses in engineering, construction, infrastructure, and property development.[14][16] This restructuring involved the transfer of key entities, including Sistem Televisyen Malaysia Berhad (STMB), the operator of Malaysia's first private television channel TV3, and New Straits Times Press (Malaysia) Berhad (NSTP), a major print media group encompassing newspapers such as Berita Harian, Harian Metro, and New Straits Times. The process culminated in Media Prima's listing on the Main Board of Bursa Malaysia, establishing it as a public company designed to consolidate and manage these assets under a unified holding structure.[14] The company commenced operations on 23 September 2003, with its official launch ceremony held at Balai Berita in Bangsar, Kuala Lumpur, and officiated by Abdullah Ahmad Badawi, the then-Deputy Prime Minister of Malaysia.[17] The initial corporate governance framework included the formation of an Audit Committee on 19 August 2003, prior to full operational launch, to oversee financial reporting and internal controls amid the integration of divested assets.[18] Board appointments around this period, such as those on 18 August 2003, featured executives with prior involvement in MRCB's media operations, emphasizing strategic oversight for the new entity's networked media investments. At inception, Media Prima's structure centered on a diversified portfolio spanning free-to-air television via STMB, print publishing through NSTP, and emerging opportunities in radio and outdoor advertising, with subsequent integrations like the merger accounting for STMB in May 2003 under merger method criteria. This setup aimed to position the group as Malaysia's premier integrated media investment entity, leveraging synergies across platforms while maintaining operational independence for subsidiaries. Ownership was distributed among strategic investors, including entities linked to prior MRCB stakeholders, to support financial stability post-restructuring.[19] The formation emphasized value creation through asset consolidation rather than fragmentation, aligning with broader industry trends toward integrated media holdings in Southeast Asia.[14]Historical Evolution
2000–2009: Establishment and Core Operations
Media Prima Berhad, following its incorporation as Profitune Sdn. Bhd. in 2000 and subsequent restructuring, officially commenced integrated operations in 2003 after completing a corporate consolidation of media assets from Malaysian Resources Corporation Berhad in August of that year.[20] This included the integration of Sistem Televisyen Malaysia Berhad, operator of TV3, and New Straits Times Press (Malaysia) Berhad, establishing the foundation for a diversified media portfolio centered on broadcasting and publishing.[20] The company's financial period ending 31 December 2003 marked the start of formalized reporting under its new structure, with initial focus on leveraging existing assets for revenue generation.[21] Television broadcasting formed the cornerstone of core operations, with TV3 serving as the flagship channel and primary driver of viewership and advertising income. Media Prima expanded its free-to-air network by launching 8TV on 8 January 2004, aimed at urban youth and featuring significant Chinese-language programming to capture diverse demographics.[22] In April 2006, TV9 commenced full operations on 22 April, emphasizing affordable Malay-centric content including dramas and news to broaden market penetration.[23] These channels, alongside inherited assets like ntv7 (launched 1998), enabled Media Prima to command a substantial share of Malaysia's television advertising expenditure during the decade. Print media operations, managed through New Straits Times Press, provided essential complementary revenue via newspapers such as The New Straits Times, whose lineage dates to 1845 as one of the region's oldest English dailies.[10] This division supported cross-platform content synergy, distributing news and features that aligned with broadcast schedules. By the late 2000s, television segments consistently generated the bulk of group revenue, reflecting the era's advertising trends favoring visual media over print amid rising competition.[24]2009–2014: Diversification and Growth
In late 2009, Media Prima strengthened its position in print media by acquiring an additional 34.88% stake in The New Straits Times Press (Malaysia) Berhad (NSTP) for RM197.4 million, increasing its ownership from 51.18% to 86.06% as of December 31, 2009, and further to 98.17% by December 14, 2010, through additional payments of RM66.3 million.[24] This move diversified the company's portfolio beyond broadcasting into newspapers such as New Straits Times, Berita Harian, and Harian Metro, contributing to revenue growth from RM744 million in 2009 to RM1.547 billion in 2010.[24] Simultaneously, Media Prima expanded its outdoor advertising segment, acquiring 80% stakes in Kurnia Outdoor Sdn Bhd and Jupiter Outdoor Network Sdn Bhd on November 12, 2009, for RM4.1 million, with ownership increased to 89% by April 19, 2010.[24] Further acquisitions in 2011 and 2012 raised stakes to 95% (May 10, 2011, for RM2.72 million) and 100% (April 13, 2012, for RM2.27 million), consolidating outdoor operations under entities like Big Tree Outdoor and elevating market share to 43% by 2010.[24][25] These efforts supported net profit growth to RM249 million in 2010.[24] Digital diversification accelerated with the launch of the Tonton video portal in August 2010, which reached 1.2 million users by year-end and grew to 2.8 million registered users by 2012, alongside agreements for IPTV content with Telekom Malaysia (April 2010) and digital TV with YTL Communications (November 2010).[24][25] In December 2012, Media Prima launched its digital business unit, integrating Alt Media Sdn Bhd and NSTP E-Media, and introduced digital editions of its newspapers in June-July 2012, positioning the group as Malaysia's leading digital media entity with over-the-top offerings.[25] Content production via Primeworks Studios, established in 2008, expanded during this period to become the largest in Malaysia, producing award-winning programs for internal networks and external clients, while radio assets like Hot FM underwent regionalization in Kelantan and Terengganu starting January 2, 2012.[24][25] Overall revenue climbed to RM1.698 billion in 2012, with net profit at RM211 million, driven by these multi-platform synergies and a group-wide restructuring completed by December 31, 2012, that realigned operations into six units for enhanced efficiency.[25] International ties, including a June 2010 MoU with Indonesia's PT Surya Citra Televisi, further supported content exchange and growth.[24]2014–2020: Market Challenges and Strategic Shifts
During 2014–2020, Media Prima encountered mounting market pressures from a protracted decline in traditional advertising expenditures and the rapid ascent of digital alternatives, which eroded revenues across its core television and print operations. Group revenue contracted from RM1.5 billion in fiscal year 2014 to RM1.43 billion in 2015, RM1.29 billion in 2016, and further to around RM1.2 billion by 2017, attributable to subdued ad spending amid economic slowdowns and consumer migration to online platforms.[26] [27] These challenges were exacerbated by structural disruptions, including heightened competition from global streaming services and social media, which fragmented audience attention and advertiser budgets in Malaysia's media landscape.[28] To counter these headwinds, Media Prima pivoted toward digital expansion and operational efficiency. In May 2017, the company acquired 100% equity in REV Asia Holdings Sdn Bhd, a regional digital media firm, to enhance its programmatic advertising and content aggregation capabilities, marking a deliberate incursion into high-growth online segments.[29] Strategic targets included elevating digital revenue contribution from 5% to 20% and non-advertising income from 20% to 40% by 2020, pursued via investments in data-driven content and diversified revenue streams like e-commerce integrations.[30] Complementary efforts encompassed partnerships for advanced video technologies, such as the 2019 collaboration with Grabyo to accelerate social media video deployment, fostering audience growth in real-time digital formats.[31] Concurrently, cost rationalization and asset optimization supported the transition, including workforce adjustments and property disposals to reallocate capital toward digital infrastructure. By late 2020, a comprehensive transformation framework had been implemented, emphasizing revised revenue models and operational streamlining to buffer against persistent traditional media erosion and emerging pandemic-related disruptions, though profitability remained volatile amid uneven digital monetization.[26] [32]2020–Present: Digital Transformation and Recent Initiatives
In response to the COVID-19 pandemic, Media Prima implemented a transformation plan in 2020 that focused on revising revenue models, eliminating operational inefficiencies such as work duplication, and consolidating advertising functions under its subsidiary Media Prima Omnia in April 2020.[33] The company also rebranded Media Prima Digital and REV Asia into REV Media Group to streamline digital operations.[33] These measures contributed to a narrowed net loss of RM48.05 million for the six months ended June 30, 2020, compared to RM53.6 million in the prior year, despite an 11% revenue decline to RM474.7 million, with core loss reduction of 32% to RM36.7 million excluding one-time termination benefits.[33] Digital platforms gained prominence during this period, particularly through e-commerce integration with CJ Wow Shop, where mobile and online sales accounted for 52% of its RM152.8 million revenue, driving a turnaround to RM6.3 million profit from a prior RM7.6 million loss.[33] Leveraging tools like Grabyo's real-time video clipping and editing for social media distribution across channels such as TV3 and ntv7, Media Prima achieved nearly 600 million social media viewers in 2020 and over 1,800% year-on-year growth in social video views from 2019.[31] This shift emphasized live and real-time content to boost audience engagement on digital channels.[31] From 2021 onward, initiatives expanded into remote production capabilities, including plans for cloud-based eSports and entertainment streaming using Grabyo Producer.[31] By fiscal year 2024 (ended June 30, 2024), digital segments showed resilience amid economic headwinds and disruptions, with revenue growth in digital advertising and home shopping offsetting traditional media declines.[34] The company positioned itself to capitalize on rising digital ad spend in Malaysia, projected to drive revenue through enhanced online engagement.[35] In late 2024, Media Prima accelerated technology adoption by planning full AI integration across subsidiaries by year-end, led by Berita Harian, to boost productivity rather than cut costs—such as automating article-to-video conversion for platforms like Instagram Reels, which already garnered up to 8 million monthly views.[36] Managing Director Rafiq Razali emphasized AI's role in efficiency and content quality improvements.[36] Overall, these efforts underscored a strategic pivot toward hybrid media models, sustaining audience share in a digitally dominant landscape.[37]Ownership Structure
Major Shareholders and Institutional Holdings
As of October 2024, Aurora Mulia Sdn Bhd (AMSB) holds the largest stake in Media Prima Berhad, with a direct interest of 353.81 million ordinary shares, representing approximately 31.9% of the company's issued share capital.[38][39] This position was reaffirmed in a company clarification to Bursa Malaysia following disclosures of changes in indirect substantial shareholders, noting that Tan Sri Syed Mokhtar Al-Bukhary maintains an indirect interest through his control of AMSB.[38][40] Jag Capital Holdings Sdn Bhd ranks as the second-largest shareholder, owning 277.26 million shares or 25% of the total shares.[39][41] Morgan Stanley & Co. International holds the third-largest position among tracked investors, with approximately 10.18% or 112.97 million shares, primarily through institutional investment vehicles.[38][42] Leasing Corporation Sdn Bhd follows with a 5.53% stake.[38]| Shareholder | Shares Held | Percentage Ownership |
|---|---|---|
| Aurora Mulia Sdn Bhd | 353,815,941 | 31.9% |
| Jag Capital Holdings Sdn Bhd | 277,264,000 | 25.0% |
| Morgan Stanley & Co. International | ~112,971,300 | 10.2% |
| Leasing Corporation Sdn Bhd | ~61,400,000 | 5.5% |
Political and Governmental Connections
Media Prima has maintained significant ties to Malaysian political entities, particularly through ownership stakes held by United Malays National Organisation (UMNO), the leading party in the former Barisan Nasional (BN) coalition government. Prior to the 2018 general election, UMNO controlled approximately 19% of Media Prima's shares as of end-2018, positioning it as the largest shareholder and enabling influence over the company's operations, including its television, print, and radio outlets that were often aligned with BN interests.[43][44] This structure reflected broader patterns in Malaysian media, where outlets like Media Prima's TV3 and New Straits Times were perceived as pro-government vehicles during BN's tenure from 1957 to 2018.[45][46] Following Pakatan Harapan's victory in May 2018, UMNO sought to divest its holdings amid financial pressures, selling an 11.09% stake to Aurora Mulia Sdn Bhd—linked to businessman Tan Sri Syed Mokhtar Albukhary—in July 2019 for RM81 million, retaining a reduced direct stake of about 7.96% via Altima Inc.[47][48] Syed Mokhtar's acquisition, which eventually elevated Aurora Mulia's stake to 32% by 2024, was interpreted by analysts as a strategic move to align with the incoming administration while consolidating media influence, though Syed Mokhtar has no formal party affiliation.[49][50] UMNO's divestment reduced its direct control, but the company's editorial stance continued to draw accusations of residual BN bias, prompting denials from Media Prima that it reports to any political entity.[51] UMNO regained partial influence through individual politicians' investments post-2020. In March 2021, UMNO leader and former minister Datuk Seri Johari Abdul Ghani, via JAG Capital Holdings Sdn Bhd, acquired a substantial stake, starting with a direct 4.96% (55 million shares) and indirect 4.93% (54.7 million shares), which grew to 25% by 2024, making him the second-largest shareholder after Syed Mokhtar.[52][53][38] Johari's holdings underscore ongoing political linkages, as UMNO returned to coalition governance in 2022 under Anwar Ibrahim's unity government, where Johari serves as Plantation and Commodities Minister.[38] These connections have fueled concerns over potential editorial influence, though Media Prima maintains independence in its disclosures.[54] No direct governmental ownership exists as of 2024, with institutional investors like Employees Provident Fund holding 11.99% but exerting no overt political role.[44]Corporate Governance and Leadership
Board of Directors
The Board of Directors of Media Prima Berhad comprises six members as of the latest available records from the company's 2024 annual reporting period, including one executive director, one non-independent non-executive chairman, and four independent non-executive directors, ensuring a majority of independent oversight in line with Malaysian corporate governance standards.[55] This composition reflects the company's emphasis on balanced leadership to guide strategic decisions in television, publishing, and digital media operations.[56] Datuk Seri (Dr) Syed Hussian bin Syed Junid serves as the Independent Non-Executive Group Chairman, appointed to lead board deliberations and represent shareholder interests; his tenure underscores continuity in governance amid the company's diversification efforts.[57] Datuk Mohd Rafiq bin Mat Razali holds the position of Group Managing Director and executive director, overseeing day-to-day operations and reporting directly to the board; he assumed this role following prior executive experience within the group.[58] The independent non-executive directors provide specialized expertise:| Name | Role and Appointment Date | Key Background |
|---|---|---|
| Abdullah bin Abu Samah | Independent Non-Executive Director (ongoing as of 2024) | Serves on multiple board committees; prior involvement in corporate and regulatory roles in Malaysia.[55] |
| Dato' Sivananthan Shanmugam | Independent Non-Executive Director (appointed January 2023) | Aged 58, contributes to audit and compensation committees; background in finance and governance.[56] |
| Datuk Phang Ah Tong | Independent Non-Executive Director (appointed June 2022) | Former civil servant with 36 years in investment promotion under the Malaysian Investment Development Authority; chairs audit committee changes noted in December 2023.[59][60] |
| Datuk Shireen Ann Zaharah binti Muhiudeen | Independent Non-Executive Director (appointed August 2022) | Senior investment professional with over 35 years in emerging markets; former Bursa Malaysia chairman, adding financial regulatory acumen.[61][62] |
Executive Management
Datuk Mohd Rafiq bin Mat Razali serves as the Group Managing Director of Media Prima Berhad, providing strategic oversight for the company's integrated media operations, including television, publishing, radio, and digital platforms.[63] Appointed to this role, Rafiq brings expertise in leadership, technology implementation, and business development, drawing from prior positions within the organization and broader industry experience in planning and expansion initiatives.[63] Rosli bin Sabarudin holds the position of Group Chief Financial Officer, managing financial strategy, reporting, and compliance across Media Prima's subsidiaries.[64] With more than 24 years in finance, Rosli began his career at Tenaga Nasional Berhad in 1998, progressing through roles in auditing, treasury, and corporate finance before joining Media Prima.[64] Nini Yusof is the Chief Executive Officer of Media Prima Television Networks (MPTN) and Primeworks Studios, directing content production, broadcasting, and studio operations for channels like TV3 and digital platforms.[65] Previously serving as Deputy CEO of MPTN and Chief Content Officer, Yusof has advanced content strategies emphasizing audience engagement and production efficiency.[65] Nazri Noran leads as Chief Executive Officer of Media Prima Audio, overseeing radio stations such as Fly FM and Hot FM, with a career trajectory starting in 2001 at AMP Radio and Astro Radio, where he rose to head of programming and content.[66] Mustapha Kamil Mohd Janor acts as Executive Director of News and Editorial Operations and CEO of The New Straits Times Press (M) Berhad, guiding journalistic standards and print/digital newsroom functions across titles like New Straits Times and Berita Harian.[67] Amir Rasyidi bin Johari functions as Group Chief Marketing Officer and Chief Operating Officer for TV3 and Tonton within MPTN, focusing on marketing strategies, sales, and operational delivery for free-to-air and streaming services.[68]| Key Executive | Position | Primary Responsibilities |
|---|---|---|
| Datuk Mohd Rafiq bin Mat Razali | Group Managing Director | Overall strategic direction and group-wide operations[63] |
| Rosli bin Sabarudin | Group Chief Financial Officer | Financial planning, risk management, and reporting[64] |
| Nini Yusof | CEO, Media Prima Television Networks & Primeworks Studios | Television content, production, and broadcasting[65] |
| Nazri Noran | CEO, Media Prima Audio | Radio programming and audience development[66] |
| Mustapha Kamil Mohd Janor | Executive Director, News & Editorial; CEO, New Straits Times Press | News operations and publishing oversight[67] |