After receiving news that its financial backers, including Lachlan Murdoch, would no longer guarantee a key loan, Ten Network has gone into voluntary administration.
TEN previously announced a trading halt after learning that Murdoch’s Illyria and Bruce Gordon’s Birketu wouldn’t be extending or increasing their loan after the December 23 expiration.
Now, Ten Network Holdings has appointed Mark Korda, Jennifer Nettleton and Jarrod Villani of Korda Mentha as voluntary administrators of the company and each of its subsidiaries. The group said that the Illyria and Birketu news “left the directors with no choice but to appoint administrators.”
“The administrators have advised the company that they will work closely with management, employees, suppliers and content partners while they undertake a financial and operational assessment of the business,” TEN said in a statement. “During this period, the administrators intend to continue operations as much as possible on a business as usual basis.
“The directors of TEN regret very much that these circumstances have come to pass. They wish to take this opportunity to thank all TEN employees and contractors for their commitment and enthusiasm for TEN’s programs and business. In particular, they would like to express their sincere gratitude, respect and admiration for TEN’s leadership team, who have achieved everything the Board has asked them to do over the past few years in very challenging circumstances. They wish TEN and its management TEN all success in the future as the Administrators look to the potential sale or recapitalization of the business.”