Fairfax Media has struck a deal with rival Australian media house APN that will see the two publishers share advertising revenue.

Under the agreement advertisers will be able to bundle their ads in APN’s regional print products and Fairfax’s online brands including Domain, MyCareer and Drive.

The deal has particular significance in Australia’s real estate classifieds market where News Ltd-backed market leader realestate.com.au dominates listings and revenue outside of Sydney and Melbourne.

Fairfax hopes that supplementing its portfolio with APN’s strong regional presence will make it more attractive to advertisers outside of the country’s two main cities.

“This will allow APN to offer to a vast number of local and regional advertisers access to Fairfax’s world class digital platforms and thereby extending their reach nationally for the first time,” Fairfax chief executive Brian McCarthy said.