CANBERRA: CBS Corp is paying A$201.1m ($162m) for Ten Network Holdings, according to a report from the embattled Australian company’s receivers. The US broadcaster said late last month that it had agreed to buy the Australian television network, fending off a rival offer linked to Rupert Murdoch’s News Corp. Details of the transaction, released today as part of a report to Ten’s creditors by KordaMentha, put the total value at A$201.1m. The deal comprises a A$139.1m payment to secured creditors and A$32.0m to a creditors’ trust. Working capital of A$30m is also included, of which A$3.6m has already been drawn down.
The CBS bid remains subject to a legal challenge and the results of a meeting of creditors. Ten Network posted a loss of A$156.8m (US$118m) in the year through August 2016, and it had net debt of A$54.5m as of the end of that month. The company was placed in administration in July after support for a loan guarantee was withdrawn by its Australian backers –News Corp co-chairman Lachlan Murdoch, casino magnate James Packer and media mogul Bruce Gordon. CBS is a major supplier of programming to Ten and is listed as the broadcaster’s largest creditor.
