Murdoch & Gordon fail to stop CBS’s Ten deal

Lachlan Murdoch and Bruce Gordon have failed in their attempt to stop US broadcaster CBS buying troubled Australian channel Network Ten.

The pair had attempted to halt a crucial creditors meeting that will decide whether CBS Corp. can move ahead with its A$201 million (US$161 million) deal, but have seen this rejected in court.

Administrators KordaMentha initially accepted CBS’s deal to take over Ten, which slipped into administration after Murdoch, Gordon and James Packer pulled their financial support from the business earlier this year.

Murdoch and Gordon made a rival bid for Ten last week through their Illyria and Birketu investment vehicles as media ownership laws were relaxed.

This is still on the table, meaning the saga is not yet over. However, it looks unlikely to go ahead.

Tomorrow, Ten’s administrators and creditors will likely make an announcement on a deal, unless an injunction is filed imminently to postpone it.

CBS, Ten’s largest creditor, will be allowed to vote at the creditors’ get together, and is expected to get the greenlight for a deal.