ABS-CBN and TV5 address issues on partnership deal with an official statement
As reported two weeks ago, ABS-CBN Corporation (“ABS-CBN”) and TV5 Network, Inc. (“TV5”) announced the execution of an Investment Agreement that will allow ABS-CBN to acquire 6,459,393 primary (new) common shares in TV5 representing 34.99% of the total voting and outstanding capital stock of TV5 for an aggregate subscription price of Php2.16Bn.
Today, the companies released an official statement after issues have been raised in some government agencies.
“To address the issues which have been raised by certain legislators and the National Telecommunications Commission on the proposed investment by ABS-CBN for a minority interest in TV5, ABS-CBN and TV5 have agreed to a pause in their closing preparations.
This pause will give the space for both media organizations to respond to the issues and accommodate any relevant changes to the terms.
Both ABS-CBN and TV5 believe that an agreement between the two media companies will have a favorable impact on Philippine media, and on free-to-air television—which remains the most affordable and extensive source of entertainment and public service to Filipinos.”