Media moghuls lose bid to stop crucial creditor meet to decide fate of Network Ten

18 Sep 2017

Media moguls Lachlan Murdoch and Bruce Gordon have lost their bid to stop a crucial creditor's meeting that will decide the fate of Network Ten, clearing the way for its sale the US network CBS.

According to commentators, unless the administrators and creditors voluntarily agree to postpone the meeting, or there is an appeal and injunction today, the fate of Australia's third commercial TV network is likely to be decided on Tuesday.

The case brought by investment companies associated with Murdoch and Gordon was dismissed by justice Ashley Black of the New South Wales supreme court. He said he found no merit in their their case calling for halting the meeting of creditors.

He also did not accept their argument that CBS, the largest creditor, should be barred from voting at the meeting.

Though the Murdoch-Gordon interests announced a new increased bid on Friday, after the court case, according to commentators the bid might have come too late.

They would now need to make their case to the administrators and creditors to reconsider the enhanced offer at Tuesday's creditor's meeting. This would depend on whether the creditors are willing to take it up at this late stage in the process.

''I am not satisfied that CBS should be prevented, in advance, from voting at the meeting,'' Black said in his judgment.

The judgment came three days after Gordon and News Corp Co-Chairman Lachlan Murdoch offered a sweetened bid for Ten.

With Ten's creditors now in full control, it remains to be seen whether they seek to adjourn the ballot.