Struggling broadcaster Ten appears left with just one financial lifeline, which would require changes to media ownership laws, after the withdrawal of a takeover offer from a US cable giant.
Discovery Communications has reportedly walked away from the negotiating table after long discussions with Ten's billionaire shareholders.
The company had been seeking to take control of Ten in a joint bid with Foxtel, as part of Ten's process of seeking outside assistance in refinancing its debt and attracting new capital.
Ten has not confirmed the withdrawal of Discovery's offer, but said it was still reviewing a number of proposals.
"Discussions are continuing with various parties and may or may not result in a transaction which is acceptable to Ten," the network said in a statement.
WIN TV owner Bruce Gordon, who holds a stake of almost 13 per cent in Ten, was believed to be the main opponent to Discovery's proposal.
IG market strategist Evan Lucas said Discovery appeared to grow frustrated with Mr Gordon's opposition, and its departure leaves a complicated refinancing proposal from the WIN TV owner as Ten's main option.
But the proposal would significantly increase Mr Gordon's stake in Ten, a move currently prevented by laws about cross-ownership of radio, television and newspapers in the same market.
"With the current rules as they stand, he has got to be careful," Mr Lucas said.
Communications Minister Malcolm Turnbull is currently working on an overhaul of media rules to take to cabinet, which would likely make Mr Gordon's option a reality.
"You may find this deal kind of meanders until that comes about, and then he'll go really hard and join WIN and Ten into one entity," Mr Lucas said.
Ten's other major shareholders, Gina Rinehart, Lachlan Murdoch and James Packer, may well be happy to accept the offer, he added, given they appeared willing to make a loss and take the 23 cents per share offer from Discovery and Foxtel.
"The conclusion from the no word coming out of those camps was they were happy to get out, obviously at a fairly reasonable loss, but it's been a horrible investment for them," Mr Lucas said.
Ten shares were up 0.75 cents at 22.75 cents at 1525 AEDT.
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