Ten creditors’ meeting to go ahead as Bruce Gordon loses court bid
Bruce Gordon has failed in his court bid to delay Tuesday’s Ten’s creditors’ meeting which would have prevented bidder CBS from voting on the sale.
According to The Guardian Australia, the media owner and associated parties lost their battle this morning, as Justice Ashley Black said he was not satisfied they had made their case.
It comes three days after media executive Lachlan Murdoch and Gordon attempted to prevent the sale of Ten to CBS, presenting a bid which arguably “returns more value” and greater “execution certainty.”
Ten’s administrators Korda Mentha approved the CBS acquisition two weeks ago, which includes a loan of approximately $142.7m to refinance the debt of the company, and shareholder guarantor fees to Murdoch, Gordon, and James Packer.
However, upon the release of a detailed creditors report, an application was made in the Supreme Court of New South Wales by Gordon’s Birketu, WIN Corporation, and WIN CEO, Andrew Lancaster, forcing Korda Mentha to delay the second creditors meeting,
According to the Australian Financial Review, WIN argued Korda Mentha had not given enough details for creditors to make an informed decision about CBS’ proposal to buy Ten, and argued CBS should not be allowed to vote at Tuesday’s meeting.
Today, Justice Black said he did not accept Gordon and Murdoch’s argument CBS should be barred from voting at the meeting, and unless there is an appeal, the meeting will go ahead on Tuesday.
It was CBS made an offer to buy Network Ten three weeks ago, two months after the network went into administration.
