The ruling will see Foxtel purchase up to 15 per cent of Ten, the home of Masterchef and The Bachelor, and the free-to-air broadcaster take a 24.99 per cent stake in the Foxtel and Fox Sports advertising joint-venture Multi-Channel Network. The watchdog had been examining a separate 8.5 per cent stake in Ten held by News Corp co-chairman Lachlan Murdoch through his private investment vehicle Illyria, along with sports rights and impact on the advertising market with the merger of Ten's ad sales division with Foxtel's joint-venture MCN. MCN began selling advertising for Ten from September 1, with the teams already working together. "The ACCC has not found sufficient evidence to establish a link between these minority acquisitions and the competition concerns raised by market participants. We will, however, closely examine any future increases in these shareholdings, including where this is made possible through changes to the existing media diversity and control rules," Mr Sims said. While approving the deal, the ACCC said that because the transaction does not result in Ten being a subsidiary of Foxtel, any arrangements between the two will still be subject to the Competition Act.

Mr Sims said that the remaining free-to-air broadcasters, pay TV platforms and online services would have "sufficient alternatives" to allow them to get content to attract viewers. Streaming services will also likely play an important part in the sale of sports rights in the future, Mr Sims said. "The ACCC took into account the anti-siphoning regime and considered that it reduced competition concerns with this transaction. With a near monopoly pay TV provider in Foxtel, the anti-siphoning regime could well currently have a positive effect on competition in the market for television viewing," Mr Sims said. Shares in Ten were up 1.3 per cent to 19.25¢ at around 1pm (AEDT) on the prospect of support from Foxtel which could help it improve audiences and advertising revenue share. While, Seven and Nine were down 8.3 per cent to 66.5¢ and 5.4 per cent to $1.50 respectively. The Australian Communications and Media Authority also confirmed that it would not stand in the way on the deal, stating "at this time" it will not breach media diversity and control rules, as foreshadowed by Fairfax Media.

"The principal issue considered by the ACMA was whether the arrangements would put Mr Lachlan Murdoch in a position to exercise control of commercial television broadcasting licences held by Ten," ACMA Chairman Chris Chapman said. "If so, an "unacceptable 3-way control situation" would result in the four licence areas where Mr Murdoch is already in a position to control the Nova commercial radio broadcasting licences and the News Corporation associated newspapers. "However, the ACMA considered that, while Mr Murdoch was in a position to exert influence on Ten, that level of influence fell short of "control" as prescribed by the BSA." Foxtel chief executive Richard Freudenstein welcomed the ruling that will see Foxtel purchase its up to 15 per cent stake for $77 million. "These transactions will provide much needed capital for Ten and help it to grow revenues by building scale and enhancing services to clients by working with MCN," Mr Freudenstein said.

"A stronger Ten will further enhance competition in an increasingly competitive local and international media industry." Loading Ten will raise an additional $77 million through a entitlement offer to shareholders. It will use the money to reduce debt and invest to content to continue its ratings improvement. "By entering into the transaction with Foxtel and completing our proposed entitlement offer to all TEN shareholders, TEN will receive the capital it needs to continue its turnaround. Through the arrangements with MCN, our advertising clients will receive the benefit of new efficiencies, improved data capability and broader integration opportunities," Ten non-executive chairman David Gordon said.