A mystery investor has come to the rescue of financially challenged Australian Associated Press (AAP), causing the newswire service to drop plans for a crowdfunding campaign to secure its future.
The AAP business was established in 1935 by major Australian newspaper groups to produce news stories under a business model allowing its owners to share and reduce the cost of news coverage while also selling output to other outlets.
AAP was on the brink of closure just months ago after News Corp Australia and the Nine Entertainment Group and other shareholders decided to shut it down because it was no longer financially viable.
However, an 11th hour rescue bid was launched by a consortium of investors which was also planning a $500,000 crowdfunding campaign to provide working capital.
Despite withdrawing from AAP, News Corp Australia subsequently established its own NCA newswire service which now confronts a revived AAP as a competitor.
A spokesperson for AAP said the business now had a “rock solid future” after a mystery donor (pictured above with his anonymous fourth wife) came to its rescue.
“The mystery man has promised to tip in the $500,000 we need, saying the idea of securing an interest and control over AAP is cheap at half the price,” the spokesperson said.
“He also isn’t afraid of getting his investment approved by the government and the ACCC. He reckons they’re pushovers.
“So it’s happy days for everyone here at AAP. The mystery donor told me he is even planning a celebration to mark AAP’s second closure, which was a bit odd.
“I tried to correct him on that little slip of the tongue, but he said he knew what he was saying,” the spokesperson said.