Ten confirms bids
Network Ten today confirmed it has received take-over offers but urged investors to be cautious in reacting to media speculation about potential transactions.
The company said its advisors Citigroup had 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.”
Discovery Communications and Foxtel reportedly have lodged a cash-and-shares bid of 20 cents-25 cents. Its shares were trading at 24 cents this morning, unchanged from yesterday.
If the deal proceeds Foxtel would be limited to a stake of 14.9% under cross-media rules.
Ten said an independent committee of the board will now consider those proposals with Citigroup.
“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,” it said.
Time Warner had been seen as the frontrunner to acquire the company in a deal that initially valued Ten at around $680 million, but pulled out.