GMA Network's Shares Jump 10% in Aftermath of ABS-CBN’s Rejected Franchise
GMA Network Inc.’s stocks jumped by 10.28 percent on Monday, July 13, the first trading day since ABS-CBN’s application for franchise renewal was rejected by the House committees on legislative franchises on Friday, July 10.
Meanwhile, trading of ABS-CBN stocks were suspended earlier today as a result of the events of July 10.
With ABS-CBN unable to operate, GMA Network and GMA Holdings stands to gain in the fallout of the competition’s rejected franchise, monopolizing broadcast, free-to-air advertising in the country.
GMA Network's shares are now priced at P6.65, a 10 percent increase from its closing price of P6.03 on Friday afternoon. Shares even reached P8.50, a whopping 40 percent increase, at one point in the day.
GMA7’s market capitalization is now at P22.351 billion.
Meanwhile, ABS-CBN stocks are still valued at P14.78, its last trading price before the franchise rejection and the temporary trading suspension.
ABS-CBN’s market capitalization is currently valued at P12.02 billion.