(Updated)

Star Media Group to list property on Airbnb

Star Media Group to list property on Airbnb
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KUALA LUMPUR (April 26): Star Media Group Bhd will continue to unlock the value of its land and building assets through tenancy, including listing its property on Airbnb besides being on the lookout for potential partners for joint property developments as the newspaper publisher seeks to demonstrate adaptability and build resilience in response to an evolving media landscape amid the Covid-19 pandemic, Star Media chairman Tan Sri Chor Chee Heung said.

At an appropriate time, Star Media will consider the possibility of developing real estate projects for the next cycle of growth in the property development industry to increase investment yield, Chor said in the company’s latest annual report, which was filed with Bursa Malaysia today.

"Leveraging on changes in consumer demand and the evolving media landscape, the group will continue to demonstrate adaptability and build resilience by seizing opportunities that position the group for sustainable growth and value creation,” he said.

In the face of rapid changes in media consumption trends, the group will focus on sustaining its investment in the digital space and attracting digital revenues, according to Chor.

He said this will be done by introducing new products and rejuvenating existing ones to keep up with changing market needs.

In the management discussion and analysis segment of the annual report, Star Media said the Covid-19 pandemic has evolved into a global economic crisis which has impacted most industries. 

The company said business and consumer behaviours remain uncertain but revenue has gradually improved since the third quarter of 2020 and drastic measures are also being taken to contain the impact.

"The group has embarked on various cost-cutting measures including manpower rationalisation and realignments. Efforts are also being directed at restructuring some of the business units within the group which allows us to re-strategise operations, especially post MCO (movement control order). 

"The group has a strong balance sheet, with a cash reserve of more than RM300 million with no borrowings as of Dec 31, 2020. This will act as a solid base for Star Media to capitalise on merger and acquisition opportunities during the market consolidation, and even penetrate into new businesses that have a promising outlook,” Star Media said.

At Bursa’s 12:30pm break today, Star Media’s share price settled down one sen or 2.47% at 39.5 sen for a market value of about RM291.73 million.

Star Media has 738.56 million issued shares, according to its annual report.

The company’s latest quarterly financial report shows that the group’s net assets per share stood at RM1.06.

Chong Jin Hun