Philippine Long Distance Telephone Company (PLDT) and GMA Network Inc yesterday announced that talks over the former’s plan to acquire a controlling stake in the broadcaster have been terminated after both sides were ‘unable to arrive at mutually acceptable terms, despite the continual discussions and efforts exerted in good faith’.
According to TeleGeography’s GlobalComms Database in June this year PLDT confirmed it was in talks with the country’s second largest TV broadcaster, with chairman Manuel Pangilinan confirming that negotiations were underway, and that he hoped a deal could be finalised ‘within the year’. Discussions between PLDT and GMA Network shareholders have taken place on various occasions over the past decade or so, although ultimately each time they broke down over disagreements on price. The telco, which is the country’s largest operator by subscribers and revenues, already owns a stake in the Philippines’ number three broadcaster, TV 5. However, it is keen to ramp up its ability to offer its own programming content to furnish its evolving telecom services. Independent reports estimate GMA Network to have a market capitalisation of PHP33.68 billion (USD790.5 million).