U.S. media company CBS Corp. (CBS) plans to acquire Australian broadcaster Ten Network Holdings Ltd. (TEN.AU), beating out an attempt from Australian media moguls Bruce Gordon and Lachlan Murdoch to acquire the company after it went into receivership.
Mr. Murdoch and Mr. Gordon proposed to each acquire a 50% interest in Ten and operate it as a joint venture. The Australian Competition and Consumer Commission said on Thursday that it wouldn't oppose the effort. Mr. Murdoch is co-chairman of News Corp., owner of Wall Street Journal publisher Dow Jones.
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A statement from Ten Network's receivers said the CBS deal was the result of a competitive process. It didn't include specific financial terms but said the deal would be implemented through refinancing existing secured debt arrangements.
The deal comes as Australian broadcasters have struggled amid a weak advertising market and competition from online streaming services.
"CBS recognises the significance of Ten in the Australian broadcasting community," said Armando Nunez, president and chief executive of CBS Studios International. "We are committed to the efficient, reliable and successful turnaround, operation and development of Ten to support continued growth in Australian media."
Ten Network's receivers said the transaction would be put to creditors and was also contingent on other conditions, including a nod from Australia's Foreign Investment Review Board.
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(END) Dow Jones Newswires
August 27, 2017 20:36 ET (00:36 GMT)