Push Admin

Antitrust body says ABS-CBN -TV5 deal not a merger, but unsure if it's an 'acquisition'

Article (news)

Raffy Cabristante, ABS-CBN News

<p>MANILA — The Philippine Competition Commission (PCC) on Wednesday said that while the landmark business deal between ABS-CBN Corp. and MediaQuest Holdings is not a merger, there are possible indications that there may be &quot;badges&quot; of acquisition of control in the agreement.</p><p>&quot;To my mind, at least personally, there seems to be indications that this qualifies as an acquisition,&quot; PCC Commissioner Johannes Bernabe said during a joint House panel hearing.</p><p>Bernabe was reacting to the letter that Albay Rep. Edcel Lagman wrote to House Speaker Martin Romualdez on Wednesday, where the solon argued that the deal between ABS-CBN and MediaQuest was not a merger.</p><p>While Bernabe said he agrees with Lagman&#x27;s argument, the PCC has yet to determine whether or not the deal is an acquisition, and therefore requires notification of concerned government agencies and Congress.</p><p>&quot;I do not want to preempt the opinion of my other colleagues in the commission. We are a collegial body and they may have their own appreciation of whether or not the transaction manifests badges of acquisition of control which would qualify it as an acquisition,&quot; he said.</p><p>He also noted that the PCC does not have a copy of the investment agreement, but is only acquiring information about the deal from press releases, notes, and other available sources made public.</p><p>&quot;If you acquire more than 50 percent of the voting shares of an entity, there are other factors that you can consider as a commission when determining the existence of control and therefore, the categorization that the transaction is an acquisition,&quot; Bernabe also said.</p><p>In the same hearing, the Securities and Exchange Commission (SEC) also clarified that there is no merger between ABS-CBN Corp. and MediaQuest, but noted that Congress can look into the issue of controlling interests to determine whether further approval is needed.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/08/24/22/sec-says-no-merger-in-abs-cbn-tv5-deal">SEC says &#x27;no merger&#x27; in ABS-CBN, TV5 deal but controlling stake needs review</a></li>	<li><a href="https://news.abs-cbn.com/business/08/24/22/ntc-abs-cbn-tv5-deal-needs-govt-clearances">NTC: ABS-CBN, TV5 need gov&#x27;t clearances before approval of investment deal</a></li></ul><p>Bernabe also said the two media firms did not need to notify the PCC about the agreement as it does not meet the P50-billion threshold set by the Bayanihan 2 law.</p><p>The value of voting shares being acquired by ABS-CBN from TV5 should also be at least 35 percent, he added.</p><p>On August 11, ABS-CBN Corp. and MediaQuest announced that they have reached a landmark business deal, where the Lopez-led network plans to acquire 6,459,393 primary common shares in TV5 representing 34.99 percent of the total voting and outstanding capital stock of TV5 for P2.16 billion.</p><p>Both ABS-CBN and TV5 agreed that the deal will have a favorable impact on Philippine media.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/08/11/22/abs-cbn-invests-in-tv5-in-landmark-deal">Kapamilya + Kapatid: ABS-CBN, TV5 reach partnership deal</a></li></ul><p>The deal has since been <a href="https://news.abs-cbn.com/business/08/24/22/abs-cbn-tv5-put-investment-deal-on-hold">put on hold</a> to give both companies time to address issues raised by several lawmakers and the National Telecommunications Commission.</p><div><strong>—with a report from Jessica Fenol, ABS-CBN News</strong></div><div><strong>RELATED VIDEO:</strong></div><figure class="op-interactive"><iframe allow="autoplay; fullscreen" frameBorder="0" height="100%" id="ivsplayer01" scrolling="no" src="https://player.ivideosmart.com/ivsplayer/v4/dist/html/iframe-src.html?iframeid=ivsplayer01&amp;key=e8c22c015ca9eafa76f1e3edfa03c603&amp;spid=3001339&amp;vid=2166682" width="100%"></iframe></figure><div class="iwantbar">Watch more News on <a href="https://www.iwanttfc.com/#!/browse/Genres/News/tag_id_genres/id_news" target="_blank">iWantTFC</a></div>

An official of the antitrust body said the agreement between ABS-CBN and TV5 is not a merger but that there may be 'badges' of acquisition of control in the deal.

Antitrust body says ABS-CBN -TV5 deal not a merger, but unsure if it's an 'acquisition'

News

Entertainment

Lifestyle

Sports

Metro.Style

More

Traffic

Manila

Horoscope

Business

Antitrust body says ABS-CBN -TV5 deal not a merger, but unsure if it's an 'acquisition'

Raffy Cabristante,

ABS-CBN News

Published Aug 24, 2022 08:34 PM PHT

|

Updated Aug 24, 2022 09:40 PM PHT

Read More:

Philippine Competition Commission

PCC

ABS-CBN

TV5

MediaQuest

Congress

ABS-CBN is the leading media and entertainment company in the Philippines, offering quality content across TV, radio, digital, and film. Committed to public service and promoting Filipino values, ABS-CBN continues to inspire and connect audiences worldwide.

Corporate

Investors

Governance

International Distribution

Corporate

Governance

Investors

International Distribution

NPC Seal of Registration

Privacy Policy

AI Policy

Terms of Service

Advertise with Us

© 2025 ABS-CBN Corporation. All Rights Reserved.

NPC Seal of Registration

Privacy Policy

Terms of Service

AI Policy

Advertise with Us

© 2025 ABS-CBN Corporation. All Rights Reserved.

NPC Seal of Registration

Privacy Policy

Terms of Service

AI Policy

Advertise with Us

© 2025 ABS-CBN Corporation. All Rights Reserved.