The National Telecommunications Commission (NTC) on Wednesday has approved PLDT’s application to acquire 51.55% share, amounting to Php 69.2 billion of Digital Telecommunications Philippines, Inc. or Digitel.
Digitel is the Philippines’ second largest fixed-line telecommunication company and owns the country’s third largest mobile telco, Digitel Mobile Philippines or more popular as Sun Cellular. The planned acquisition of PLDT over Digitel (originally a subsidiary of JG Summit Holdings Inc.) which is an “all-share transaction” first broke the news in March, which raised concerns from consumers for possible substantial market dominance leading to cutthroat competition.
Now that the acquisition of Digitel is official, that makes the Pangilinan-led telecom giant the owner of Sun Cellular. And that means Smart Communications and Sun Cellular are merged to beat the Ayala-led Globe Telecom in mobile/cellular telephony and broadband services. (more…)