Regulator NTC OK's Destiny Cable sale

The National Telecommunications Commission has given the  acquisition of Destiny Cable – the country's second largest cable television (CATV) provider – by Lopez-led Sky Cable Corporation the green light. 

 

Regulators announced that it has approved the sale of Destiny Cable’s assets worth P2.4 billion to Sky Cable, a subsidiary of media conglomerate ABS-CBN Corporation. 

 

The move will boost Sky Cable's subscribers from over half a million to more than 700,000. 

 

The commission granted the Solid Group Inc.'s (SGI) Destiny Cable a license for CATV operations in 1995.

 

Sky Cable is, likewise, acquiring SGI subsidiaries Solid Broadband Corporation (SBC)  for P1 billion  and Uni-Cable TV Inc. (UNI) for P93.6 million.

 

It is set to take possession of SBC's assets for commercial telecommunications facilities, coastal stations for ships-at-sea, aeronautical stations for aircraft in flight, television and broadcasting stations and other telecommunications services.

 

Just the same, Sky Cable is acquiring all of UNI’s assets for its CATV operations in Mandaue and Lapu Lapu City, Cebu.

 

The acquisition is expected to give Destiny subscribers clearer signals and access to more channels and other services.

 

For 2013, Sky Cable expects to spend P1 billion in capital expenditure, of which P400 million has been earmarked for digitization and the balance for broadband services and maintenance of facilities.

 

Sky Cable projects to shore-up P350 million in extra earnings annually due to its acquisition of SGI assets. — SOA/VS, GMA News