TV5 and ABS-CBN signed a partnership deal to provide greater public service and expand their company to the next level.
MediaQuest, the parent company of TV5 network, and ABS-CBN officially signed a multibillion-peso partnership deal, capping three years of disruption in the broadcast media industry.
The closed-door ceremony was located at the Cignal Launchpad headquarters in Mandaluyong. The ceremony is led by MediaQuest Holdings Chairman Manuel V. Pangilinan and ABS-CBN Chairman Mark L. Lopez. Also available at the signing were PLDT Inc. and Smart Communications Inc. President/ CEO Alfredo S. Panlilio, Mediaquest President Jane J. Basas, Sky Cable President Antonio S. Ventosa, ABS-CBN President/ CEO Carlo L. Katigbak and ABS-CBN Head of Corporate Partnerships Roberto Barreiro.
In the signed deal, it is said that ABS-CBN will acquire 34.99 percent of primary shares in TV5 for P2.16 billion. There is also an option that is subject to regulatory approvals for ABS-CBN to increase its stake up to 49.92 percent, Business World reported.
Lopez shared that this partnership can also be an opportunity to help TV5 grow, strengthen its free-to-air network, and take it to the next level especially since ABS-CBN is known for showing popular primetime programs like “ASAP Natin ‘To”. This allows TV5 to increase its own ratings.
For ABS-CBN, the deal presents a fantastic platform for them to achieve collaboration in production content, talent management, and maximizing their content delivery. This also gives them an opportunity to provide greater service to the public together with TV5.
“We welcome the investment and entry of ABS-CBN in TV5. ABS-CBN has always been the leading developer and provider of Filipino entertainment content in the Philippines and overseas as well. We now can achieve our cherished goal in greater measure of providing quality content across Entertainment, Sports and News in the service of the Filipino people,” Pangilinan said in a statement
Both parties are said to feel good about the deal as they did not take everything on the table. They are also working out the grid and have not yet finalized the show lineup as per the new partnership deal.
“For ABS-CBN, it presents an exciting opportunity to achieve synergies in content production, work with the best talent on-cam and off-cam, as well as to expand our ability to reach and engage with every Filipino throughout the country,” Lopez said
“This partnership is consistent with the strategic intention of ABS-CBN to evolve and primarily be a storytelling company,”
ABS-CBN has lost its franchise two years ago which led to losses of jobs. It was a difficult time especially since it was during the peak of the pandemic when the controversy happened.
Because of this, ABS-CBN told its shareholders that they would focus more on content distribution instead.
Additionally, the deal also includes Cignal Cable acquiring a minority of 38.88 percent stake in SkyCable for P2.862 billion. The benefit of this is that it will enhance its public service, particularly educational programs for children in remote areas.
But even before the announcement, the idea already triggered a reaction from the Philippine Competition Commission. The MVP group had actually expressed their interest in SkyCable since 2020, but dropped the bid due to possible antitrust issues.
Pangilinan was unfazed, however, saying that “both organizations have ensured that the transaction meets all of the legal requirements [and] securities laws.”
Both transactions are expected to close within this month.
“We look forward to this strengthened partnership, as we see the opportunity to help TV5 grow and be an important part of every home in the Philippines,” Mr.Lopez said. “I am happy and honored to be able to recognize and say: Ang ating mga Kapatid ay ang ating mga Kapamilya.”
Tags: #ABS-CBN, #TV5, #Broadcast, #Partnership