Packer steps down from PBL board

James Packer quit the board of PBL Media Ltd after the billionaire's company refused to provide more funding to the venture that bought control of his media assets for A$4.5 billion ($2.8 billion) two years ago.

Packer's Consolidated Media Holdings Ltd may have its 25 percent stake in PBL, which owns Australia's biggest magazine publisher and second-ranked television network, diluted if the venture sells shares to raise capital. John Alexander has also left PBL's board, Consolidated Media said in a statement yesterday.

PBL Media, controlled by buyout firm CVC Asia Pacific, is struggling to repay debt from the 2006 purchase as the credit crunch pushes up interest costs and slowing economic growth in Australia cuts advertising. After selling the 50 percent stake in PBL Media to CVC in 2006, Packer sold a further 25 percent last year for A$515 million.