ABS-CBN, TV5 pause deal amid concerns

ABS-CBN and TV5 have agreed to pause the closing of their deal, which would allow ABS-CBN to acquire a minority interest in TV5, to address concerns from legislators and the National Telecommunications Commission (NTC).

The original deal involved ABS-CBN acquiring 6.46 million new common shares of TV5 for P2.16 billion, representing a 34.99 percent stake.

Both media companies stated that the pause will allow them to respond to the issues and accommodate potential changes to the agreement's terms.

ABS-CBN and TV5 believe their agreement will positively impact Philippine media and free-to-air television.

NTC Commissioner Gamaliel A. Cordoba stated that TV5 and ABS-CBN should first obtain clearances.

Cordoba also mentioned that the NTC issued a memorandum order prohibiting franchise grantees from entering into commercial agreements over which the commission has jurisdiction with parties that have outstanding obligations to the national and local governments.