ASSOCIATED NEWSPAPERS HAS 10 PCT OF NORTHERN STAR
<Northern Star Holdings Ltd> said
Britain's <Associated Newspapers Holdings Plc> will hold 9.99
pct of its enlarged issued capital after applying to acquire
15.9 mln shares in its recently announced placement.
    Associated was one of the major investors participating in
the previously reported placement of 128.9 mln shares at 3.75
dlrs each, Northern Star said in a statement.
    The northern New South Wales regional group is emerging as
a national media force in the wake of the industry
restructuring sparked by the News Corp Ltd <NCPA.S> takeover of
the Herald and Weekly Times Ltd <HWTA.S> group.
    Associated now holds 3.3 pct of Northern Star's current
issued capital, a company official said.
    As previously reported, Northern Star is raising 623 mln
dlrs through placements and a subsequent one-for-four rights
issue at 2.95 dlrs a share.
    Of the placements, 56.9 mln shares will go to a number of
investors and 72 mln to investment group <Westfield Capital
Corp Ltd>, which arranged Northern Star's purchase of News
Corp's television assets, three newspapers and three radio
stations for 842 mln dlrs. Westfield will increase its stake in
Northern Star to about 45 pct from 20 as a result.
 REUTER
