Smart Telecom or PLDT bought Sun or Digitel at P74.1B

MANILA, Philippines – The Philippine Long Distance Telephone company announced today its acquisition of Digital Telecommunications Philippines, Inc. (Digitel) from JG Summit amounting to Php74.1 billion or 51.55% shares in exchange of new PLDT assets worth 2,500 per share.

Digitel, which owns Sun Cellular, announced that under the new leadership the paired networks will continue to the expansion of broadband rollout and other next generation technologies in both fixed and wired services.

According to PLDT, they intend to keep the mobile operations separate and to capitalize on Sun Cellular’s operations, continuing its service to the "unlimited" market segment.

PLDT is also set to make tender offer for all remaining Digitel shares held by public shareholders, which is approximately 48.45% at 1.60 per share.

The completion of the transaction is expected to be completed by the end of second quarter of 2011 upon the approval of the National Telecommunications Commission, Securities and Exchange Commission, and Philippine Stock Exchange.

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