Creditors approve $3.4b plan to save Nine
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Nine Entertainment creditors have approved a $3.4 billion recapitalisation plan aimed at stopping the media company going into administration.
A source said lenders voted overwhelmingly in favour of the plan in Sydney on Monday.
However, the deal still needs final approval from the Federal Court before it can be put into action.
The matter is due to return to the Federal Court before Justice Peter Jacobson on January 29.
Monday's vote formally ends private equity firm CVC Asia-Pacific's stewardship of Nine and crystallises its $1.9 billion investment loss.
Nine Entertainment - parent of the Nine Network, NBN Television and the Ticketek events ticketing business - faced going into administration if lenders owed $3.4 billion could not agree on how to divide up ownership of the company in return for their debt.
Nine owed $2.3 billion to US hedge funds Apollo and Oaktree and $1 billion to investment bank Goldman Sachs.
Chief executive David Gyngell last October managed to secure the agreement of lenders to swap their debt, due to be paid in February, for shares in Nine.
The deal also gave Apollo and Oaktree directorship rights.
Nine has said the deal was supported by more than half of the senior beneficiaries, holding more than 75 per cent of the value of the debt.
However, several other senior beneficiaries opposed the deal and unsuccessfully applied to the Federal Court to stop the creditors' meeting.
But at a hearing last December, Justice Jacobson said any issues could be debated at the meting and the scheme did not require the consent of all of the creditors.