Ten Network Holdings has announced the sale of its EYE Corp outdoor advertising business to Champ Private Equity for up to $145 million.
EYE Corp is being purchased by Champ-owned Outdoor Media Operations (OMO), which in turn owns oOh!media.
Ten will receive $120 million on completion of the sale, with $25 million deferred for three years, the full payment of which will depend on various factors.
One of those factors is the price that Champ can get for EYE's UK and US businesses, which intends to sell immediately.
Ten may also choose, or be required, to repurchase those businesses if they are not sold within an agreed timeframe.
Ten is also keeping on $16 million worth of "onerous contracts", but subcontracting the operation of them to OMO.
However, despite the conditions on the sale, Ten's chief executive James Warburton says it is a good deal for the company.
"Successful completion of the transaction with OMO will be good news Ten," he said in a statement.
"It will make our balance sheet stronger by further reducing debt and will give us additional opportunity to invest in the creative renewal of Ten's television content." Ten says it will use the proceeds of the sale to further pay down debt, after recently also raising $200 million from shareholders.
The market reaction to the announcement has been mixed, with Ten shares moving between gains and losses - at 12:41pm (AEST) the company's shares were up 2 per cent to 51.5 cents.