The Philippine Competition Commission (PCC) has approved the sale of Sky Cable Corp.’s broadband business and related assets to PLDT Inc.
In a disclosure, the Lopez-led company said the PCC on 19 January 2024 “allowed the sale of Sky Cable’s broadband business and related assets to PLDT via the sale of 100 percent of Sky’s total issued and outstanding capital stock.”
The proposed transaction is, however, still subject to a number of closing conditions.
The board of directors of ABS-CBN on 16 March 2023 approved the sale of its interests in Sky Cable directly or indirectly representing 58.7 percent of the outstanding capital stock of Sky Cable.
The total gross proceeds to be received by ABS-CBN from the sale of shares is about P4 billion.
All the other stockholders of Sky Cable, Lopez, Inc., and Sky Vision Corporation, also agreed to sell their shares in Sky Cable to PLDT, Inc.
ABS-CBN said the total purchase price to be paid by PLDT for all the issued and outstanding capital stock of Sky Cable is P6.75 billion.
The proceeds to be received by Sky Vision will be used, among others, to settle its obligations, including its obligations to ABS-CBN,” the company said.
ABS-CBN said the sale of SkyCable to PLDT was a “strategic decision resulting from, among other things, the significant capital expenditure requirements of Sky Cable to maintain its competitiveness.”
The company added that the sale of its ownership in Sky will allow ABS-CBN to focus its resources on content creation.
PLDT, on the other hand said the transaction is aligned with its mission to narrow the digital divide by expanding broadband connectivity, and supports the government’s push to expand the nation’s digital infrastructure.
