MVP confirms interest in acquiring GMA 7 stake

Businessman Manuel V. Pangilinan confirmed Thursday his interest to invest in broadcasting giant GMA Network Inc., or GMA 7, citing a similar consolidation route taken by global media groups elsewhere in the world.

But Pangilinan noted that recent talks on the potential investment in GMA 7 by Mediaquest Holdings Inc.—a unit of the Beneficial Trust Fund of Philippine Long Distance Telephone Co.—were “very, very preliminary.” He also said his group would also be keen on government-owned Radio Pilipinas Network (RPN-9) and International Broadcasting Corp. (IBC-13) if these were to be privatized.

“I think we’ll be interested to take a look at the opportunity, but there are no discussions ongoing,” the PLDT chairman said when asked about GMA 7 during a Metro Pacific Investment Corp. briefing.

“We’ve talked to them the first time in 2002, then maybe five years ago,” said Pangilinan. When asked if there were recent talks, he said these were “very, very preliminary.”

Pressed why he was still interested in GMA 7 despite having already acquired Associated Broadcasting Corp. (TV5), Pangilinan said GMA 7 was “obviously making money.”

If Pangilinan’s group were to succeed in taking over GMA 7, combined with TV5’s market share, it is estimated that he would gain control of 60 percent of the television market.

Apart from television and radio, Pangilinan’s group has minority interest in three newspapers – Philippine Daily Inquirer, Philippine Star and Businessworld. TV5 also has a block-time arrangement with IBC-13.

“I guess the strategic intent is to replicate what other media groups have done elsewhere in the world, [and see] if we could replicate it here with TV, radio and print. It’s a model that’s not new,” Pangilinan said.—Doris C. Dumlao

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