×

Lachlan Murdoch, Bruce Gordon Challenge CBS With Full Bid for Australia’s Ten

Lachlan Murdoch and Bruce Gordon have launched a formal bid for Australia’s troubled Ten Network. The bid is a direct challenge to CBS Corp.’s proposed acquisition of Ten from financial administrators.

The bid by Murdoch’s Illyria investment company and Gordon’s Birketu follows a successful court challenge Tuesday to the CBS proposal, which was put forward last month. The court ruling in Sydney delayed a vote by creditors on the CBS rescue plan. But Murdoch and Gordon’s bid may itself be ruled inadmissible because it missed an Aug. 25 deadline.

Significantly, the Illyria-Birketu bid also follows the passage this week of new media laws that will relax rules on cross-media ownership and media plurality. The Murdoch family-owned News Corp. is already the dominant media group in Australia. Lachlan Murdoch is executive chairman of 21st Century Fox.

According to Australian media, the Illyria-Birketu bid puts more cash on the table for creditors. CBS, which is Ten’s biggest creditor, had offered A$32 million (US$25.5 million). In an earlier informal offer, Illyria-Birketu proposed A$35 million (US$28 million). The new takeover offer ups that to A$55 million (US$44 million).

Unlike CBS’ offer, which would give it outright ownership, the Illyria-Birketu bid proposes returning 25% of Ten’s equity to existing shareholders. Murdoch and Gordon also say that Ten could in time be re-floated on the Australian Stock Exchange.

Ten was forced to go into administration earlier this year after media moguls Murdoch, Gordon and James Packer withdrew their guarantees to provide credit to the company. It is Australia’s third-ranking free-to-air broadcast group.

The CBS bid had been approved by administrators KordaMentha. According to a second report published by the administrators, Illyria and Birketu would renegotiate leases on three of Ten’s studios. Job losses may follow, especially if Ten’s news operations are combined with those of Sky. CBS has promised that jobs will not be cut.

More Biz

  • splice

    Splice Raises $57.5 Million in Latest Funding Round

    Splice, a favorite of music creators that allows access to a library of three million rights-cleared sounds, announced today that the company closed a Series C funding round at $57.5 million. That brings Splice’s total amount raised to roughly $102 million since its launch in 2013. It raised a Series B in November of 2017. [...]

  • WGA Agents Contract Tug of War

    WGA Leaders to Meet With Showrunners on Agency Packaging Fight (EXCLUSIVE)

    WGA leaders are set to meet Wednesday night with a group of showrunners who are raising concerns about the guild’s handling of negotiations with talent agents over the issue of packaging fees and agency-affiliated productions. The meeting is set for 7:30 p.m. at WGA West headquarters. WGA West president David Goodman is expected to attend. [...]

  • Bill Murray St Vincent 2014

    Weinstein Co. Sued Over Trademark Infringement in Bill Murray Film

    A horse-racing announcer has sued the Weinstein Co., claiming that the company infringed on his trademarked phrase in a 2014 Bill Murray movie. Dave Johnson is the man behind “And down the stretch they come!,” which he began using while calling races in Illinois in the 1960s. The phrase took off when Johnson moved to [...]

  • HALLIE ANDERSON AND JESSICA PAGE Mom

    Mom + Pop Promotes Hallie Anderson and Jessica Page to Co-General Managers

    Mom + Pop Music has promoted Hallie Anderson to co-GM and head of marketing and Jessica Page to co-GM and head of digital, the company announced today. They had previously served as VP of marketing and VP of digital strategy, respectively. “Being able to promote, empower and support Hallie and Jess in their new positions [...]

  • Disney Fox Takeover Placeholder

    Disney, Fox Employees Grapple With Day One Transition on Two Hollywood Lots

    What kind of a boss will Disney be? That’s a question facing employees at 20th Century Fox, Fox Searchlight, National Geographic Partners, FX Networks, and other assorted parts of Rupert Murdoch’s former media empire. Wednesday was their first full day as staffers of the Walt Disney Co. and the initial moves have done little to [...]

  • Jay Wilson Joins Mascot Label Group

    Jay Wilson Joins Mascot Label Group as VP of Publicity

    Jay Wilson has been named VP of publicity for Mascot Label Group, the company announced today. A veteran of Republic, Glassnote and Universal Records, In his new position Wilson will conceive and implement media strategies for the company and its roster of artists such as Beth Hart, James Morrison, P.O.D., Robert Randolph and the Family [...]

  • Tencent Music Shares Drop Despite Solid

    Tencent Music Shares Drop Despite Solid First Earnings Report

    Proving that good is not always good enough, Tencent Music Entertainment shares fell 9 percent after the Chinese company released its 2018 earnings, wiping out $2.7 billion in market capitalization of what is arguably the biggest audio music service in the world. Chalk it up to big expectations and a short track record: Wednesday’s earnings [...]

More From Our Brands

Access exclusive content