Last night Network TEN threw a lavish annual party in Melbourne to celebrate its AFL partnership. It may have partied just in the nick of time.
Today in a brief statement to the Australian Securities Exchange, the network said its shares would be halted from trading.
After months of speculation, parent company CanWest Global Communications plans to sell down its 50.1 per cent stake in the network.
CanWest has faced significant debt problems and has been locked in tough negotiations with bond holders for months.
Shares in the network last traded at $1.365, giving the group a market capitalisation of about $1.43 billion.
In August, TEN raised $138 million worth of new shares which diluted CanWest’s stake. TEN said no new shares would be issued as part of the current sale process.
The Canadian conglomerate has been part of TEN since 1992. In 2005, it explored a possible sale after the federal government indicated it may consider relaxing Australia’s media cross-ownership laws.
The network’s ratings surged with MasterChef Australia making an exit by the Canadian company more profitable, but has tapered off in recent weeks. Several new shows launch next week in the run up to the end of the ratings year.
Source: smh.com.au
It well it never happen I know but can’t TEN own itself?
680 million
For those who are wondering, CanWest has indicated that the shares are to be sold to Macquarie Capital Advisers (I believe the transaction will be completed next month), which then plans to distribute stock to institutional investors… a.k.a. private equity.
“Murdoch has too much debt and wouldn’t buy it, plus has already said he isn’t interested.” – Rupert’s always interested, but being the astute businessman, feins “no interest” to avoid running the price up. Gordon could buy TEN, sell off STW9 & NWS9, keeping the better TEN stations in Adelaide & Perth. Or they could combine forces. Then again, who knows, yet.
Yeah and good luck with that Neon kitten
Gordon would not be able to control all the Ten stations, as even if he wanted to, there would be a duopoly issue in Adelaide/Perth.
Macquarie, could send itself into more debt, if it did a Northern Star and over-expended on a potential Ten purchase, after all, they also own Southern Cross Ten.
The only viable solution if Gordon won control, would be simply splitting the stations up, for group sale, post CanWest exit, i.e. Ten East (TVQ/TEN/ATV as well as program library & running One HD) /Ten West (ADS/NEW)
So SC10 will end up owning Ten and One and the unnamed 3rd channel before it’s refloated in 2013 when digital takesover
Canwest’s enormous stupidity in taking so long to sell out their Ten stake, when they would’ve profited very handsomely if they sold out 3 or 4 years ago at the top of the market, as James Packer did with Nine, will cost them, in that they won’t get as much now. Murdoch has too much debt and wouldn’t buy it, plus has already said he isn’t interested.
I just hope it’s bought by a company headed by someone who values worthwhile artistic content over sport- sport, sport.
The political discourse in the US has gone to s**t since Fox News was launched in huge part thanks to Rupert’s chief TV man Roger Ailes. Having Rupert control the major daily tabloid newspapers and the Ten News brand would be bad news.
However, according to Crikey, Rupert is not biting. Macquarie Media and Bruce Gordon most likely players getting in on the action.
@Camo… Bruce Gordon and Rupert go way back… Rupert sold his stake in WIN4 to Bruce Gordon in the ’70s, so that he could buy TEN10 & ATV0/10. And of course Gordon has grown WIN ever since.
Bruce Gordon and Rupert…hmmm i wonder
@Ryano. Don’t quite know who the “fools” are “who hope for Rupert Murdoch to buy up this stake”. “Huge news”?
@Kuttyswood – I guess Rupert’s all bad, according to Ryano. Pity those Americans who just watch FOX because Rupert has brainwashed them.
Figures from last night (or night before)
Total Viewers (million) Fox 16.50 CBS 12.01 NBC 14.83 ABC 5.90
Oh woe, let not FOXTV degrade our democracy. I thought Canberra was doing quite well without Rupert’s help.
This is huge news. All you fools who hope for Rupert Murdoch to buy up this stake are kidding themselves.
Murdoch will degrade our democracy if he gets his grubby mits on Ten as he has in the United States.
@Paull – the only Packers who ever had any interest in the TV industry are both dead.
The packers should leave the gambling industry and return to tv
C’mon Rupert, make a Fox out of Ten.
Don’t be surprised if Bruce Gordon’s WIN increase their stake in TEN. And will Rupert be keen on a comeback?
Let’s hope it doesn’t get snapped up by a private equity group in the same style as 9- we can all see what the results when that happens. They rip everything they can out of the company and sell on at a profit- good television and private equity firms rarely go hand in hand!
Stand by for the return of Rupert Murdoch to Australian Free to Air TV
Let’s hope they sell it to an Aussie who might think about a real investment in the network… ie content