Key executives of PLDT Inc. and Globe Telecom took the helm of Liberty Telecoms Holdings Inc. in line with the P70-billion acquisition of San Miguel Corp.’s telco unit last May.
Liberty Telecoms said in a stock exchange filing Friday that PLDT regulatory affairs and policies head Ray Espinosa and Globe senior vice president Gilbert Simpao were named co-chair and co-presidents of the firm.
This came after Liberty Telecoms held Friday its first general meeting since parent firm Vega Telecom was jointly acquired by PLDT and Globe from San Miguel Corp. on May 30.
Most of Liberty’s management, led by its president Bienvenido N. Bañas, stepped down. Retained as corporate secretary was Grace G. Dela Cruz, the filing showed.
Bañas said on Thursday that the move marked the telcos’ formal takeover of Liberty Telecoms.
Both buyers said the acquisition was necessary because it was aimed at unlocking SMC’s valuable but unused radio frequency assets. PLDT and Globe claimed these were needed to improve mobile internet services in the Philippines.
The deal hit a snag when the Philippine Competition Commission said it wanted to review the transaction for possible violations to recently-enacted competition rules. This ran contrary to the telco duopoly’s view that they deserve automatic approval, based on the PCC’s transitory rules. They eventually sued the PCC before the Court of Appeals, where the case is pending.
Vega was sold to PLDT and Globe for about P69 billion, including 17.02 billion in liabilities. In addition, the two telcos acquired Bow Arken Holding Co. and Brightshare Holdings, which were linked to SMC and held added frequency assets.