Australia’s Ten mulls Foxtel investment

DetailsRebecca Hawkes | 28 April 2015




Australian commercial free-to-air broadcaster Ten Network has confirmed it is considering an investment from Foxtel, the local pay-TV company jointly owned by News Corp and Telstra.


Reports have emerged suggesting Foxtel is about to take a 14.9% stake in Ten Network Holdings, for an estimated A$85 million at 18¢ a share. The struggling pay-TV broadcaster, which is in the midst of an ownership review, told the Australian Securities Exchange that it has been in "discussions with Foxtel about the terms on which it may potentially invest in Ten." In a statement it asked share dealers to be cautious about the speculation, as the "process continues and may or may not result in a transaction which is acceptable to Ten."

Ten trails fellow free-to-air networks Seven West Media and Nine Entertainment in terms of ratings, and hired investment bank Citigroup in November 2014 to advise on potential investors.

Shareholder approval would be required for Ten to accept an investment greater than 15%. Its major shareholders include WIN Corporation owner Bruce Gordon, Gina Rinehart's Hancock Prospecting, Crown chairman James Packer and News Corp chairman Lachlan Murdoch.