Congress OKs transfer of Mislatel's control to new consortium

Congress has approved the measure seeking the transfer of the controlling interest of the Mindanao Islamic Telephone Company, Inc. (Mislatel) to its new consortium selected as the provisional third telco player in the country.

Last Monday, the House of Representatives agreed to the amendments of the Senate to House Concurrent Resolution 23, which aims to approve the transfer, sale, or assignment of the controlling interest of Mislatel, Inc. to businessman Dennis Uy's Udenna Corp., its subsidiary Chelsea Logistics Holdings Corp., and state-owned China Telecommunications Corp.

“We are grateful to both houses of Congress for approving the transfer of controlling interest of Mislatel to the Udenna Group and China Telecom,” Mislatel spokesperson Adel Tamano said.

“We are particularly thankful that the Congress included this matter in their order of business immediately upon resumption of Congress," Tamano said.

The Mislatel spokesman said the Congressional approval shows the lawmakers' unwavering support of the President and his goal of providing better telecommunication and ICT services by fostering competition in the sector.

"This is another important step forward so that Mislatel can obtain its Certificate of Public Convenience and Necessity (CPCN) so jthat we can begin our roll-out and operations in order to deliver on our promise of bringing better services - including 5G technology - to improve the lives of all Filipinos," Tamano said.

On November 19, 2018, the National Telecommunications Commission declared the Mislatel Consortium as the “New Major Player” in the telco industry.

But Republic Act 8627, which granted franchise to Mislatel Inc. to maintain and operate a wireless telecommunications system in the country, states that its controlling interest cannot be transferred to any person, company or entity without prior approval of the Congress.

In February 2019, the Senate adopted House Concurrent Resolution 23 with amendments, but the House still needed to agree with these modifications before the measure can be approved.

The Mislatel Consortium has committed to deliver a minimum average broadband speed of 27 megabits per second (mbps) in its first year of operation and 55 mbps by its fifth year. —LBG, GMA News