Report: US investors looking at TEN
More takeover rumours at TEN have emerged today, but not from the usual News Corp corner.
- Published by David Knox
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- Filed under News
More takeover rumours at TEN have emerged today, but not from the usual News Corp corner.
The Australian Financial Review reports US private equity firm Providence is eyeing a potential bid, with executives having visited earlier this month.
Contact between Providence and TEN was described as “preliminary”, but hints at “a lot of work going on behind the scenes with a number of parties” regarding the network’s future.
AFR reports TEN Chairman and CEO Hamish McLennan has attempted to renegotiate expensive supply deals with CBS and FOX, with some success changing the terms of for ELEVEN, a joint-venture with CBS.
TEN recently advised the market it expects its television revenue for FY14 will be approximately 3.5% – 4.5% below the prior year.
“TEN remains firmly focussed on improving ratings by managing costs to ensure that maximum funds are available for reinvestment in prime time content,” it said in a statement.
“The benefit of the most recent cost reduction program will not flow through to TEN’s earnings until FY15 and cost guidance for that year will be provided at the time of the announcement of TEN’s full-year FY14 financial results in October 2014.”
TEN stock fell more than 18 per cent last week to finish at 24.5¢.
4 Responses
If we do get News Corp does that mean we get shows, news and sport from other channels, Fox News and Fox Sports
I Hope someone buys Ten and fixes the mess that has been created over the past 2 years. Best thing Ten could do now is not cut to fund good content but borrow to secure good deals that will support Ten into the future, gotta spend money to make money in this world.
Anyone but News Corp please.
“… reinvestment in prime time content …”.
More Offspring and MasterChef, less I Wanna Marry Harry, no matter how rapidly it is “becoming event television”.
I suspect an external influence is the only thing that might fix Ten woes.
The current management obviously do not have a strategy to fix Ten and interesting that Fox and CBS are expensive – in today’s terms I think “skippy” re-runs would be considered expensive.