The future success of Network Ten appears to be a bit murky, amid reports the broadcaster is struggling to get back in the black.
Media reports suggest that Ten Network Holdings’ shares were placed into a trading halt on Tuesday morning, ahead of a company announcement.
#BREAKING: Network Ten has placed shares into a trading halt over uncertainty surrounding its next round of funding.
— Sky News Business (@SkyBusiness) June 13, 2017
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There is talk Network Ten will announce it is entering voluntary administration after three key backers decided not to support a new funding deal to refinance a $200 million loan according to The Australian.
The Australian also reported that Ten shareholders Lachlan Murdoch, Bruce Gordon and James Packer have chosen not to guarantee a new $250m loan to replace the existing $200m overdraft. Tbat amount needs to be repaid to the Commonwealth Bank in December.
Ten company secretary Stuart Thomas provided an update to the ASX on Tuesday.
That correspondence confirms that those guarantors do not intend to extend or increase their support for the company’s credit facilities beyond the term of the current facilitiy which expires on 23 December 2017.