Ten confirms takeover bids on table

TELEVISION broadcaster Ten Network has received a number of non-binding proposals it says could lead to a takeover or a refinancing of its debt.

Network Ten new Sydney headquarters in Pyrmont with satellite dish on roof. Channel 10 New South Wales (NSW) / Building / Exterior / Logo

TEN Network has received non-binding proposals from a “number of parties” including local pay-TV operator Foxtel after adviser Citigroup closed the sale process for the television broadcaster.

The media company issued a statement to the ASX. It is understood at least one proposal has been submitted by a consortium of Foxtel and US cable giant Discovery Communications.

“Ten (TEN) confirms that Citigroup has received non-binding, conditional proposals from a number of parties in relation to transactions which, if implemented, could result in a change of control of Ten or a refinancing of its existing debt facilities,” the statement said.

“An independent committee of the board of Ten will now consider those proposals in conjunction with Citigroup. In this regard, it should be noted that the proposals are confidential, non-binding and conditional in nature and may or may not result in a transaction which is acceptable to the company.”

Ten also urged “caution in dealing in its shares on the basis of media speculation about potential transactions involving the company”. Media leaks about potential deals in recent weeks have impacted the share price.

Foxtel closes in on Ten takeover

According to sources, the Foxtel and Discovery consortium and its advisers worked late into the night to make a non-binding cash-and-share offer of 20c-25c that values Ten at between $510 million and $664 million.