and 's departure from KIIS FM is continuing to rattle shareholders.
KIIS' parent company ARN Media has shed significant value since Sandilands and Henderson were taken off-air in February, with the share price falling from above $0.35 to to $0.285.
The market value took a particularly sharp decline after Sandilands lodged his $85 million compensation claim against ARN late last week.
A graph charting the past three months shows ARN began facing a downfall in market value back in January.
The sustained decline has weighed heavily on ARN's market capitalisation, which has fallen below $100 million for the first time, trading around $98 earlier this week.
Speaking to The Daily Telegraph, The Motley Fool analyst Scott Philiips said ARN's future is unclear.
Kyle Sandilands and Jackie 'O' Henderson's departure from KIIS FM is continuing to rattle shareholders
KIIS' parent company ARN Media has shed significant value since Sandilands and Henderson were taken off-air in February, with the share price falling from above $0.35 to to $0.285
'We don't really know how it is going to end up, it depends on the outcome of the legal case,' he said.
'At the moment shareholders are pretty concerned that this could go badly, either a big payout or some other way of trying to resolve the problem.'
'What could have originally looked like a cost-saving mechanism may end up costing the station money, and that might even be without the program going back to air.'
Backed by a prominent legal team, Sandilands is claiming that ARN deliberately conspired to sabotage his $100 million, 10-year contract in a calculated attempt to exit the costly agreement after just over 14 months.
Sandilands' legal team is led by the 'ferocious' Kevin Lynch, a partner at Johnson Winter Slattery, according to The Australian.
Over the past two weeks, Lynch has carefully examined every detail of the host's agreement and strategised a comprehensive attack on ARN.
He filed the necessary papers on Friday.
Sandilands is seeking his contract to be honoured in full.
Backed by a prominent legal team, Sandilands is claiming that ARN deliberately conspired to sabotage his $100 million, 10-year contract in a calculated attempt to exit the costly agreement after just over 14 months
Backed by a prominent legal team, Sandilands is claiming that ARN deliberately conspired to sabotage his $100 million, 10-year contract in a calculated attempt to exit the costly agreement after just over 14 months
On Monday morning, ARN issued a statement in an ASX market update, asserting that the network disputes Sandilands' claims and plans to defend the proceedings.
'The applicants claim the termination of Mr Sandilands' contract was invalid on the basis they allege that there was no act of serious misconduct or breach of contract, and that the termination was unconscionable under the Australian Consumer Law,' their statement read.
However, ARN is hoping to bring back Henderson at a much lower rate with a new program, after the network also terminated her $100 million, decade-long deal last month.
The Australian reports that Henderson is not enthusiastic about that offer, while sources close to the former co-hosts indicate that she intends to watch how Sandilands' legal offensive unfolds.
The end of the Kyle & Jackie O show was announced last Wednesday when Sandilands released a statement at 7am announcing that ARN had .
