ABS-CBN loses P258.5-M market cap as SolGen Calida files quo warranto petition

ABS-CBN loses P258.5-M market cap as SolGen Calida files quo warranto petition

The TV giant ABS-CBN seems to be handling more than it can chew, the network has two battles to worry, one is at the halls of Congress where 11 bills calling for its renewal is still pending at the committee level and the quo warranto proceeding now being entertained by the Supreme Court which have been filed by the Solicitor General himself- Jose Calida.

But as early as now, the media network has lost a very costly battle and this is located in the Stock Exchange where it had a beating since the filing of the quo warranto proceeding in the SC.

ABS-CBN Corporation, lost P258.593 million in market capitalization      (2/10/2020), the company’s shares fell by 1.76% at the close of trading after the news came out that OSG filed a case calling for the revocation of its legislative franchise.

(photo credit to owner)

Shares of ABS-CBN plunged to P16.70 apiece, down by 30 centavos or 1.76% from P17.00 per share last week (2/2/2020).

In the process, the company lost P258.593 million of its market capitalization to P14.394 billion, down from P14.653 billion on Friday.

Asked for a comment, Diversified Securities Inc. equity trader Aniceto Pangan said the drop of shares could be attributed to the filing of the quo warranto proceeding against the tv network.

"It creates uncertainty on the part of the company if it cannot renew its franchise congressional approval," he explain

This is not the end, Pangan said shares of the tv network could be expected to slide further should the quo warranto issue remain unresolved.
"I think that's a possibility unless the government acts to retrieve this back," he explained. 

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Report from GMA News

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