GMA Network to raise up to P7.78B from IPO

The Philippine broadcasting company GMA Network Inc. on Monday said it would be raising between P6.39 billion and P7.78 billion from an initial public offering of shares and the sale of Philippine depositary receipts. In a filing with the Securities and Exchange Commission, GMA said it plans to sell some 91.346 million common shares through the IPO, and 822.12 million shares to international fund managers, at P7-P8.50 per share. The broadcasting firm did not specify a timetable for the offering, but earlier statements from company officials indicate the IPO will be in July. The company said the proceeds from the sale will fund its capital requirements for 2007 and 2008. GMA is planning to spend P980 million in 2007, and P950 million in 2008, for the upgrade of its regional facilities, and the improvement of its studios. The firm has hired Deutsche Bank to be the bookrunner and lead manager for the international offering, while ATR Kim Eng Capital Partners Inc. will handle the domestic issue. GMANews.TV, the official website of GMA News & Public Affairs, is owned and operated by GMA Media Merge, a wholly owned subsidiary of GMA Network. - Cheryl Arcibal, GMANews.TV