CBS strikes deal to buy troubled Channel Ten

The US network announced it entered into a binding agreement to purchase Ten from the Aussie network's receivers and managers

Major US commercial network, CBS, has struck a deal to take over Channel Ten from the troubled network’s receivers and managers.

Making the announcement, CBS Corporation’s CEO and Chairman, Leslie Moonves, revealed that in addition to buying linear channel, Ten, the deal includes digital terrestrial television channel (DTT) Eleven, which CBS already owns a 33 per cent stake in, as well as DTT channel, One, and digital platform, Tenplay. Financial details have not been disclosed.

“Network Ten is a prime broadcasting asset with over half a century of experience and brand equity in Australia,” Monnves said in a statement. “We have been able to acquire it at a valuation that gives us confidence we will grow this asset by applying our programming expertise in a market with which we are already familiar."

CBS Studios International president and CEO, Armando Nuñez, said Network Ten and CBS have enjoyed a close working relationship for nearly two decades.

"CBS will continue to provide Network Ten with access to the very best in US content. We also look forward to working with the outstanding team at Network Ten to enhance and expand on its great legacy of Australian news, drama, reality and sports programming,” he said. "This acquisition not only presents CBS with considerable broadcasting opportunities in Australia, but also allows for further multi-platform distribution and growth.”

The transaction will be completed in accordance with the Australian voluntary administration process and is subject to certain regulatory approvals. PPB Advisory was appointed receivers and managers to Network Ten on 1 July 2017 following the appointment of KordaMentha as voluntary administrators by directors on 14 June,  and has been working to sell Network Ten as a going concern, via a recapitalisation of the business, through a competitive tender program.

In July, CBS was revealed as the largest single creditor to Network Ten, claiming debts of us up $843 million from the embattled Australian broadcaster. In total, Ten reportedly owed secured creditors $129 million and accumulated losses of $1.3 billion.

PPB Advisory will also provide immediate funding to Network Ten, backed by existing shareholder guarantors. This will allow operations to continue while the sale process is conducted.

The announcement comes at the same time as CBS revealed plans to also launch CBS All Access, the Company’s digital subscription video on-demand service, in the Australian market. This will be followed by the roll out of the service in Canada next year.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+:google.com/+CmoAu

 

 

 


 

 

Join the newsletter!

Or
Error: Please check your email address.
Show Comments

Blog Posts

Social purpose: Oxygen for your brand health vitals

If trust is the new currency, then we’re in deep trouble. Here's why.

Carolyn Butler-Madden

Founder and CEO, Sunday Lunch

Customer experience disruption: Healthcare faces a bitter pill

Over the past decade, disruptors such as Amazon, Apple and Australia’s Atlassian have delivered technology enhanced customer experiences, which for the most part, have improved customers’ lives and delivered unparalleled growth. Can they do the same for healthcare?

Alex Allwood

Principal, All Work Together

How can a brand remain human in a digital world?

Some commentators estimate that by 2020, 85 per cent of buyer-seller interactions will happen online through social media and video*. That’s only two years away, and pertinent for any marketer.

James Kyd

Global head of brand strategy and marketing, Xero

https://bit.ly/2qLgzmR Transform your life a proven digital blueprint

Okitoi Steven

How this banking group tackled a digital marketing transformation

Read more

Its great to hear that companies including JCDecaux, oOh!media, Omnicom and Posterscope Australia have all partnered with Seedooh inorder...

Blue Mushroom Infozone Pvt Ltd

Out of home advertising companies strive for greater metrics and transparency

Read more

Much ado about nothingAnother fluff piece around what it could possibly do rather than what it is doing

gve

How AMP is using AI to create effortless ‘experiences’

Read more

is it true that Consumer expectations are also changing as a result. If we trust someone with our data there is also an expectation that ...

Sunita Madan

Society will decide where digital marketing takes us next: Oracle

Read more

This Blog is Very interesting to read and thank you for sharing the valuable information about Machine Learning. The information you prov...

johny blaze

What machine learning has done for the Virgin Velocity program

Read more

Latest Podcast

More podcasts

Sign in