×
You will be redirected back to your article in seconds

CBS Wins Bid for Australia’s Ten Network, Defeats Lachlan Murdoch

Shareholders at Australia’s Ten Network on Tuesday voted to accept a revised takeover offer from the U.S.’s CBS Corporation.

The decision is a defeat for a counter-proposal from Lachlan Murdoch and Bruce Gordon. It follows a court decision on Monday that rejected a plea from Murdoch and Gordon to delay the creditors’ meeting.

Mark Korda, partner at the accountancy firm that is currently Ten’s administrator, called it an “overwhelming vote in favor of CBS.” “What they decided was to vote – more than 50% of value [in votes] and more than 50% in number [of individual votes] – to accept the CBS deed of company arrangement,” Korda said.

CBS had originally offered A$32 million (US$25.6 million) to creditors. Murdoch and Gordon proposed A$35 million (US$28 million) and increased that to A$55 million (US$43.9 million), promising to leave some equity for creditors, but their offer document also appeared to imply substantial cutbacks and studio closures. CBS is understood to have increased its offer to A$40 million (US$32 million) on the eve of the creditors meeting.

CBS will now take over the entire company. It is also expected to renegotiate a content supply deals with Fox.

Ten has been in administration for several months, since three billionaire backers Murdoch, Gordon and James Packer announced that they would cease to guarantee the network’s credit. Ten is Australia’s No. 3 network.

The takeover is expected to take four to five weeks to complete. It is also subject to regulatory approval.

More Biz

  • PledgeMusic Down to a ‘Skeleton Staff,’

    PledgeMusic Down to a ‘Skeleton Staff,’ Although a Potential Buyer Is in the Wings

    PledgeMusic, the direct-to-fan marketplace that has faced serious financial troubles in recent months, is down to a “skeleton staff” and payroll in the U.S. office ceased within the last month, sources close to the situation tell Variety, although a potential buyer is “very interested” in the company and has been in due diligence for several [...]

  • Michael Avenatti

    Michael Avenatti Arrested on Bank Fraud and Extortion Charges

    Attorney Michael Avenatti was arrested Monday and is facing federal charges on both coasts of bank fraud, misappropriating client funds, and trying to extort Nike. Prosecutors in the Southern District of New York allege that Avenatti tried to extract more than $20 million from Nike, and said that if the company did not pay him, [...]

  • Daily Show Viacom

    DirecTV, Viacom Avert Blackout After Marathon Negotiation

    DirecTV and Viacom have agreed on a carriage renewal pact covering a raft of Viacom’s cable channels after a marathon negotiation over the weekend. In a joint statement early Monday, the companies said: “We are pleased to announce a renewed Viacom-AT&T contract that includes continued carriage of Viacom services across multiple AT&T platforms and products. [...]

  • Discovery CEO David Zaslav Sees 2018

    Discovery CEO David Zaslav Sees 2018 Compensation Soar to $129.4 Million

    Discovery Inc. president-CEO David Zaslav is once again making headlines for an enormous compensation package. Zaslav’s 2018 compensation soared to $129.44 million in 2018, fueled by stock options and grants awarded as the longtime Discovery chief signed a new employment contract last July that takes him through 2023 at the cable programming group. Zaslav received [...]

  • Jonathan Lamy RIAA

    Jonathan Lamy Stepping Down From RIAA

    Jonathan Lamy, the Recording Industry Association of America’s longtime executive VP of communications and marketing, is stepping down from his post after 17 years, he announced today. As he put it in an email to Variety, “I started back in 2002, which means it’s been 17+ years, four different RIAA CEOs, three format changes and [...]

  • Fox Layoffs

    Disney-21st Fox Layoffs: TV Divisions Brace for Deep Cuts

    A second day of layoffs has begun on the Fox lot in the wake of Disney completing its acquisition of 21st Century Fox on Wednesday. Longtime 20th Century Fox Television Distribution president Mark Kaner is among the senior executives who were formally notified with severance details on Friday morning. 21st Century Fox’s international TV sales [...]

  • anthony pellicano

    Hollywood Fixer Anthony Pellicano Released From Federal Prison

    Anthony Pellicano, the Hollywood private eye whose wiretapping case riveted the industry a decade ago, was released from a federal prison on Friday, a prison spokeswoman confirmed. Pellicano was sentenced in 2008 to 15 years, following his conviction on 78 charges of wiretapping, racketeering, conspiracy and wire fraud. He had been in custody since 2003, [...]

More From Our Brands

Access exclusive content