Nine saved from collapse
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Nine Entertainment has been saved from collapse with a Federal Court judge giving the final tick of approval to a $3.4 billion recapitalisation scheme.
Justice Peter Jacobson sanctioned the scheme during a hearing on Tuesday after creditors voted overwhelmingly in favour of the plan last week.
The judge said that considering most creditors had supported the scheme during the meeting and that an expert report had approved it, he would allow the plan to go ahead.
"The scheme is one which appears to be fair and reasonable," he said.
The recapitalisation scheme, which is due to be implemented in five business days, formally ends CVC Asia-Pacific's stewardship of Nine and draws a line under its $1.9 billion investment loss.
Nine Entertainment - parent company 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 secured the agreement of lenders to swap their debt, due to be repaid in February, for shares in Nine.
The deal also gave Apollo and Oaktree directorship rights.