the Outsider - PSE Points to Ponder

  Fresh equity gives the Lopez-led broadcaster room to negotiate. For BPI and UnionBank, the question is whether patience preserves value—or lets operating creditors move ahead in the economic queue. **MANILA—**In Philippine street slang, “Judith” is the visitor nobody wants to see: the due date. For ABS-CBN Corp., Judith is approaching twice. A Bank of the Philippine Islands facility has been extended to August 31, 2026 , while a Union Bank of the Philippines facility has been extended to September 30, 2026 , according to the broadcaster’s latest quarterly filing. Together, the two facilities were originally described as roughly ₱9.75 billion, although the ABS-CBN parent company carried a lower accounting balance of about ₱8.40 billion as of June 30 after previous payments and adjustments. This time, however, ABS-CBN isn’t greeting Judith empty-handed. The company has announced a plan to raise ₱6 billion in new equity . I&C Holdings Corp. is expected to provide ₱3.5 billi...

  Fresh equity can repair the broadcaster’s balance sheet, but creditor banks tied to the Ayala and Aboitiz groups will determine whether the money finances a recovery—or merely repays old obligations. **MANILA—**ABS-CBN Corp.’s proposed ₱6 billion capital infusion gives the debt-laden media company something it has lacked since losing its broadcast franchise in 2020: time. Whether it produces a turnaround is another question. The broadcaster said I&C Holdings Corp. would invest ₱3.5 billion, while three Lopez family investment vehicles—Crème Investment Corp., Mantes Corp. and Presta Holdings Co.—would contribute a combined ₱2.2 billion. Lopez Inc. would invest another ₱300 million. ABS-CBN’s board approved the transaction on August 13, a day after the subscription agreements were signed. The company said the proceeds would be used for general corporate purposes.  The transaction would inject permanent capital without adding interest expense. I&C, established by invest...

  Ramon Ang’s purchase gave Gabby Lopez’s family branch an undisclosed amount of cash—and gave the billionaire a seat inside one of the Philippines’ most storied business groups. The unanswered question is whether the proceeds could finance a rescue of its most famous but financially troubled company. **MANILA—**Ramon S. Ang has built a reputation for making large bets on difficult businesses. His latest investment came with an unusually conspicuous omission: the price. On August 10, Ang acquired the 25.68% interest in Lopez Inc. previously held by Crème Investment Corp., the investment vehicle representing the family branch of former ABS-CBN chairman Eugenio “Gabby” Lopez III. Ang made the purchase personally through his wholly owned Illumina Investment Holdings Inc., rather than through San Miguel Corp., the conglomerate he chairs. Neither party disclosed the purchase price, payment terms, or rights attached to the shares. Lopez said the sale was intended partly to help restore ...

  Buying First Gen could give Prime Infrastructure a listed vehicle, end a damaging control dispute, and provide the Lopez group with enough capital to repair its empire—including ABS-CBN. Sometimes the price of corporate peace is best expressed per share. For the Lopez family, that figure may be ₱81 . At that price, First Gen Corporation would carry an equity value of approximately ₱291 billion , or about US$4.75 billion . That would represent a formidable premium over FGEN’s recent market price near ₱20, but it would also recognize the hidden value of its interest in Energy Development Corporation, its remaining gas exposure, hydroelectric assets, pumped-storage investments, and an unusually liquid parent balance sheet. FGEN has approximately 3.597 billion common shares outstanding, making the arithmetic straightforward. The most plausible buyer need not be found abroad. Enrique Razon Jr.’s Prime Infrastructure Capital Inc. is already doing business with FGEN on both sides of the...

  ABS-CBN and DITO once stood on opposite sides of the Philippine corporate fate. Now, both are being kept aloft by creditors, suppliers, and hope. There is a certain symmetry in corporate misfortune. In 2020, ABS-CBN, the Lopez family’s media empire, lost the congressional franchise that had long underpinned its free-to-air broadcasting business after a House committee voted 70-11 to deny its bid for renewal. Around the same era, DITO Telecommunity, backed by Dennis Uy’s Udenna group and China Telecom, was being cast as the disruptive third telco that would break the Globe-PLDT duopoly and bring competition to the Philippine connectivity market.  Six years later, the tables have not so much turned as collapsed inward. ABS-CBN is no longer the mighty broadcaster whose franchise became a national political drama. DITO is no longer merely the insurgent challenger promising cheaper data and faster speeds. Both have become variations of the same Philippine corporate specimen:...

  ABS-CBN Corp.’s long-running turnaround effort suffered another blow in the first quarter of 2026, as weaker advertising, a shrinking cable business, and compressed gross margins pushed the former broadcasting giant into negative equity. The Lopez-led media company reported a ₱813 million net loss for the three months ended March 31, 2026, wider than the ₱500 million loss a year earlier, as consolidated revenue fell 21% to ₱3.33 billion . Gross profit dropped to ₱527 million from ₱1.02 billion , driving the gross profit ratio down to about 15.8% from roughly 24.0% in Q1 2025. The weak quarter erased what remained of ABS-CBN’s equity cushion. Total equity swung to a ₱66 million deficit from ₱747 million positive equity at end-2025, while the company’s accumulated deficit widened to ₱6.65 billion from ₱5.97 billion . The results underscore how difficult it has been for the Lopezes to rebuild ABS-CBN’s earnings base after the loss of its broadcast franchise. Management has s...