US broadcaster CBS to buy Australia's embattled Ten Network
The deal saves Ten Network from collapse, after the New York-based media giant CBS pledged immediate financial support to keep it running
American broadcaster CBS has secured a deal to buy Australia’s third-largest television network, Ten, squeezing out a potential bid by News Corp co-chairman Lachlan Murdoch.
The Ten Network was placed in voluntary administration in June after two billionaire backers refused to continue guaranteeing a key loan of some A$200 million (US$159 million).
CBS – one of Ten’s key content providers – would fund the purchase by refinancing existing secured debt arrangements in full, the administrators said in a statement.
The agreement came after CBS in July claimed debts of A$843 million from Ten in a submission to the network’s administrators, Fairfax Media reported.
The Sydney-based broadcaster was valued at just A$59 million ($47 million) before its stock was suspended from trading in June. No value for the deal with CBS was provided.
“Network Ten has played a significant role in Australia’s media landscape over many decades, and the sale of the business to CBS will allow the iconic broadcaster to move into a new chapter on a strong and stable footing,” Ten receiver and PPB Advisory Partner Christopher Hill said in a statement.
