ABS-CBN Corp. is raising P500 million from the sale of treasury shares and Philippine Depository Receipts to further expand its digital footprint and beef up content.
In a regulatory filing, Lopez-led ABS-CBN said its board approved the sale of 21.322 million of its treasury shares and 27.828 million PDRs to interested qualified institutional buyers at the price of P15.23 each.
The offer price represents a 19 percent premium over the 30-day volume weighted average of ABS-CBN common shares.
“In the event that none of the shares are taken up by the institutional buyers, Lopez Inc., is willing to purchase up to P500 million of such shares and PDRs at the same price,” ABS-CBN said.
Proceeds will be used to strengthen its digital presence to make its content more accessible to audiences in as many platforms.
ABS-CBN has become largely a content company after it failed to get its broadcast franchise renewed in 2020.
It remains dominant on both YouTube and Facebook. Its entertainment channel is the largest in Southeast Asia with 36.4 million subscribers, 112 million followers in Facebook and 13.5 million monthly actives across its websites.