BROADCASTING & CABLE
Lopez Holdings Corporation has interests in broadcasting, cable and telecommunications, making it the premier provider of converged communications services in the country. Content provided by publicly listed ABS-CBN Corporation (PSE: ABS) is carried to consumers through cable and telecom.
ABS-CBN Corporation is in the business of producing world-class entertainment, news and information programs and in the continuous adoption of breakthrough technology to deliver these to its audiences not just in the Philippines, but globally. This content is distributed primarily in the Philippines through its flagship station in Mega Manila, ABS-CBN Channel 2. Backed by a regional network of 25 originating stations, 8 affiliates, and a collection of strategically-located relay stations across the archipelago, ABS-CBN’s nationwide reach is unmatched to this day. ABS-CBN also airs in free-to-air UHF on Studio 23 and operates the country’s leading radio network consisting of 3 AM band stations and 14 in the FM band.
ABS-CBN also provides news and entertainment programs for nine cable channels, targeting specific niche markets who prefer foreign entertainment programs, blockbuster Filipino movies, news and commentary, music, animè, and sports. ABS-CBN also controls SkyCable, the Philippines’ largest cable television service provider which has close to 800,000 upscale subscribers in Metro Manila and key urban areas nationwide.
Outside of the Philippines, ABS-CBN reaches an estimated 2 million Filipinos out of the more than 8 million Filipinos overseas, through ABS-CBN Global’s The Filipino Channel (TFC). TFC is available in the USA, Canada, the whole of Europe, Australia, the Middle East, Japan, and a host of other Asia-Pacific countries via cable TV, direct-to-home satellite, Internet Protocol Television (IPTV), and the Internet through TFCNow!
ABS-CBN’s in-house produced programs also reach foreign audiences through the distribution of ABS-CBN content to countries in Southeast Asia, Eastern Europe and Africa.
Lopez Holdings received cash dividends from ABS-CBN in the amount of P293 million in 2014 and P179 million in 2013.
• Consolidated revenues of P33.544 billion (P33.378 billion in 2013)
• Net income attributable to holders of the parent of P2.387 billion (P2.146 billion in 2013)
• Paid out cash dividends of P0.60 per share (P0.40 per share in 2013)
Sky Vision Corporation was incorporated on March 25, 1991 and started commercial operations on February 1, 1992.
In 2011, ABS-CBN and Lopez Holdings completed the sale of Philippine Depositary Receipts (PDRs) over shares in Sky Cable Corporation (SkyCable) to a subsidiary of STT Communications Ltd. (STTC), Sampaquita Communications Pte Ltd (Sampaquita). Simultaneously with these transactions, Sampaquita completed its investment in new PDRs covering SKYCABLE shares and its subscription to a convertible note issued by SkyCable. The investment, which amounted to about P3.862 billion in the aggregate, gave Sampaquita approximately 40% of the economic rights in the cable company. The Lopez Group maintains 99% voting control and an aggregate economic interest of almost 60% in SKY CABLE.
The PDRs are issued by Sky Vision Corporation, the holding company of SkyCable and a member of the Lopez group of companies. The PDRs give the holder thereof the right but not the obligation to purchase the underlying SKYCABLE shares provided that the holder is qualified under Philippine law to hold SKYCABLE shares. The PDR holder has no voting rights over the SKYCABLE shares. The convertible notes issued by SKYCABLE are convertible into SKYCABLE shares provided that the holder of the convertible notes is qualified to own the SKYCABLE shares.