Transpacific Broadband to sell 40% shares to foreign investors

MANILA, Philippines — Transpacific Broadband Group International, Inc. on Thursday revealed its plan to sell up to 40 percent of its shares to foreign investors to raise funds and participate in the selection of the country’s third telecommunications player.

The publicly listed satellite station operator told the stock exchange it is seeking to join in a consortium of companies vying for the third telco slot, or it may instead take part in a band of companies that wants to establish 50,000 tower sites nationwide.

TBGI will also establish a representative office in China in coordination with a Chinese consortium involved in telecoms and technology.

“Given that the [terms] of reference for the third telco is clear and definitive, TBGI can now actively [pursue] its strategies in expanding business activities,” the company said in a regulatory filing.

“TBGI’s 25-year congressional franchise allows TBGI participation in the said business opportunities,” it added.

To break a longstanding duopoly and boost service, President Rodrigo Duterte invited foreign firms, backed by a consortium of Filipino businesses, to take a role in the country’s wireless communications market.

Under the Department of Information and Communications Technology’s proposed selection rules, companies with no outstanding liabilities must have a congressional franchise and P40 billion for capital and operational expenditure over a five-year period.

The DICT has set a target of September or early October for naming a third player.