DITO CME gets substantial stake in third telco player via PHP 68.4-billion share swap deal!

DITO CME Holdings purchased Udenna Communications Media and Entertainment Holdings Corporation because of an indirect interest in DITO Telecommunity.

DITO Telecommunity now part of DITO CME Holdings?

DITO CME seeks stake in 3rd telco

The deal, worth up to PHP 68.4 billion, was executed earlier this week through a share-for-swap with Dennis Uy-led Udenna Corp, involving 11.2 billion shares priced at PHP 6.11 each.

The move would also pave a way for DITO Telecommunity to have additional capital when needed from DITO CME for the former's network rollout. 

In a disclosure today, DITO CME said the company, however, has yet to secure the approval of the Securities and Exchange Commission for the multi-billion peso deal. 

DITO Telecommunity is backed by Uy's Udenna Corp. and Chelsea Logistics Corp., and China Telecommunications. 

In a separate filing, DITO Telecommunity chairman and chief executive officer Dennis Uy said the group would fulfill its vow to challenge Globe Telecom and PLDT by the first quarter of 2021.

We want to deliver on the expectations of our shareholders and the investing public, thus we don’t want to make promises that we can’t keep. Rest assured that we are working hard to execute on our plans as best we can. Our principal and immediate mission is to ensure the commercial launch of DITO Telecommunity by March next year, Uy told the Philippine Stock Exchange. 

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Source: PSE

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