Broadcaster Channel Ten has confirmed it has been forced into voluntary administration today after billionaire shareholders didn’t bail them out.
The network announced on Tuesday that Ten shareholders Lachlan Murdoch, James Packer and Win Television owner Bruce Gordon decided against guaranteeing a new $250 million loan to replace their current $200 million overdraft, due to be paid in December.
The lack of key loan from billionaire backers “left the directors with no choice but to appoint administrators,” the statement said.
The network produce some of the nation’s most popular shows, including MasterChef.
Channel Ten is Australia’s third most popular commercial network with Masterchef, I’m a Celebrity, The Bachelor franchise as well as big sporting events such as Big Bash cricket, but the changing media landscape has left the broadcaster with dim prospects.
Their half-year results showed a $232.2 million loss which forced the company to admit they may not be able to carry on.
With easily accessible, original content produced prolifically on streaming services, programs like Netflix, Foxtel Now, Stan and Amazon Prime are dominating the market.
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The company have reportedly lost $232.2 million.
KordaMentha have been appointed as voluntary administrators, but Ten assured punters that operations would continue “as much as possible on a business as usual basis.”
“The directors of Ten regret very much that these circumstances have come to pass,” their statement said.
The board wished the broadcaster and its management “all success in the future as the administrators look to the potential sale or recapitalisation of the business.”
More as we get it.
KordaMentha have been appointed as voluntary administrators.
