BIZ BUZZ: DITO deal with Summit stalled

DITO CME Holdings Corp. may have to wait longer before it can realize a multibillion-peso funding boost, as the Singaporean firm’s planned acquisition of more shares faces delays.

Donald Lim, DITO CME president, said the deal with Summit Telco Corp. Pte. Ltd. is stalled due to “more paperwork.”

Lim earlier said the move could be completed within the first semester. However, this was pushed back.

The official now sees it concluding within 2025.

“So I think it’s just that,” Lim told reporters Monday.

The executive noted that there was no “underlying current” tainting the deal.

The agreement, which already received the go-ahead from the country’s competition watchdog, will involve the acquisition of an additional 9 billion shares in DITO CME by the Singapore-based company.

See Also

Security of tenure for independent directors under study

Currently, Summit Telco holds an 8.14 percent stake in the group. Its parent Summit Telco Holdings Corp., meanwhile, owns 16.89 percent.

Analysts had earlier estimated that once the sale of shares was pushed through, the combined stake of the Singaporean firms could go by nearly 49 percent—making it the largest shareholder.

DITO CME is the parent of DITO Telecommunity, the so-called duopoly challenger to PLDT and Globe Telecom.