Government approves PLDT's purchase of Sky Cable—what it means for subscribers
The Philippine Competition Commission (PCC), the government’s antitrust body, has approved PLDT’s purchase of Sky Cable, the latter’s parent company ABS-CBN Corporation said on Jan. 22.
But despite the PCC approval, the transaction, which began in March 2023, is “still subject to a number of closing conditions,” ABS-CBN said in a corporate disclosure.
“ABS-CBN will disclose material information to update the disclosure made to the exchange on March 16, 2023 once they become available,” the company added.
The Manny V. Pangilinan-led PLDT previously said that the closing conditions include the termination or cessation of Sky’s pay television and cable businesses, securing other applicable government approvals and clearances, and getting all required consents and corporate actions.
PLDT, which also owns pay television Cignal TV, is set to acquire 100% of Sky’s outstanding capital stock worth 1.3 billion common shares. This amounts to P6.75 billion, or P4.90 per share.
The telco giant said the sale would benefit broadband subscribers of both companies, as it would boost the coverage in remote areas.
Sky Cable, meanwhile, on its website told subscribers that its broadband and cable television services will continue while awaiting the required regulatory approvals.
“Once approvals are obtained,” it said, “SKY is committed to assisting all its cable TV subscribers to ensure a transition to their preferred service.”
ABS-CBN previously said the sale would be used to settle and fund its retirement obligations to employees. It added that the sale would also allow ABS-CBN to focus its resources on content creation.