Is PLDT Acquiring Rival SkyCable? MVP Group Says it is ‘Evaluating Options’
There is a possibility that PLDT may acquire SkyCable, the cable subsidiary of the Lopezes of ABS-CBN.
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“PLDT regularly explores opportunities available to the group that may complement our overall business strategy,” the company disclosed to the Philippine Stock Exchange on Monday, September 14. “As such, PLDT is evaluating options with respect to SkyCable for possible opportunities. However, there is nothing definite nor disclosable at this time.”
PLDT was reacting to a report in The Philippine Star on Monday that said the company, which is part of the MVP Group, is planning to bid for the cable business of the Lopezes.
The MVP Group also owns Cignal TV, a rival satellite TV provider.
For its part, ABS-CBN has declined to confirm the report in a separate filing with the PSE.
“SkyCable has not solicited this bid to sell the company, nor has ABS-CBN Corporation made any decision with regard to a divestment of SkyCable,” the company said.
The Philippine Star report said the MVP Group is “raising funds for the offer, which the group is targeting to firm up after Sept. 16 when this year’s Chinese ghost month ends.”
The report further claims the Ayalas’ BPI is willing to extend a loan to the MVP Group to fund the acquisition after the Ayala conglomerate decided to skip the bidding war.
SkyCable, the cable arm of the Lopezes, was founded in 1990 and has become one of the country’s leading cable providers. It also offers broadband and satellite TV services.
The Lopezes’ flagship broadcast company, ABS-CBN, was ordered to stop operations by the National Telecommunications Commission after it failed to secure a renewal of its 25-year franchise from the House of Representatives.