ABS-CBN sells part of QC property to ALI for P6.24B

ABS-CBN Corporation signed an agreement with Ayala Land Inc. (ALI) to sell up to 30,000 square meters of its 4.4-hectare property in Quezon City for P6.24 billion.

The sale covers 68.14% of ABS-CBN's total property and is subject to regulatory clearance from the Philippine Competition Commission (PCC) and other agencies following the House of Representatives' denial of ABS-CBN’s franchise renewal in 2020.

Proceeds from the sale will be used to prepay some of ABS-CBN's outstanding loans, with a down payment placed in an escrow account to be released upon completion of certain conditions precedent and signing of the Deed of Absolute Sale.

ABS-CBN will consolidate its operations on the remaining 1.4 hectares while ALI acquires the larger part for development, with payments to be made in installments over ten years.

The transaction is seen as a financial move to monetize high-value property amid ongoing efforts to improve ABS-CBN's financial performance.