Philippines’ San Miguel, Australia’s Telstra end JV talks

Men drink San Miguel beer at a bar in Taguig City, Metro Manila November 14, 2012. REUTERS/Cheryl Ravelo

Australia-based Telstra and Philippine diversified conglomerate San Miguel Corp (SMC) have dropped plans of a mega buck joint venture.

Both companies failed to agree on commercial arrangements of a possible equity investment, The Australian reported.

Each company, however, stressed on continuing to pursue their individual plans of exploring business opportunities locally and in Asia.

Telstra chief executive Andrew Penn was quoted as saying, that “it was obviously crucial that the commercial arrangements achieved the right risk-reward balance for all involved.”

Also read: Telstra to shake up PH telco market with $1b investment plan; criticises incumbents over ‘lousy service’

Telstra proposed to San Miguel last August that it is willing to invest up to $1 billion in a telco joint venture. Penn even later on criticized the “duopoly” in the Philippine telecoms industry, dominated by Globe Telecom Inc and PLDT as the country has one of the slowest mobile Internet speed.

Meanwhile, San Miguel president and COO Ramon Ang said they will go ahead with the company’s telco venture as scheduled utilizing the 700 Mhz band alotted to it by the National Telecommunications Commission (NTC).

Ang told the Inquirer that Telstra continues to offer technical work design and construction consultancy support for the physical infrastructure for San Miguel’s wireless service.

San Miguel’s network is nearing completion with cell sites mostly deployed in Metro Manila and in provinces immediately to the north and south of the National Capital Region, Inquirer added.

Also Read: Globe asks PH regulator to reassign San Miguel’s unused frequency pending Telstra’s entry

Ang noted San Miguel’s entry into the telco industry will benefit more consumers from better and cheaper service.

Responding to the latest development, Philippine listed mobile carrier Globe Telecoms maintained its call on the NTC to distribute the 700 Mhz for further and immediate Internet development in the country.

“This new development about Telstra ending its plan of entering the Philippine market doesn’t change anything as regards to our business direction. The more serious concern is why SMC is being allowed to hold on to the entire 700 Mhz band,” Globe said in its statement.

“We call on the NTC to immediately distribute the 700 Mhz for fast deployment of high-capacity LTE based wireless and fixed broadband that would benefit the entire country.”

Globe highlighted the Philippines is one of two remaining countries in Asia Pacific with pending issues that prevent the utilization of the 700 Mhz frequency.

Also Read:

PLDT ties up with Philippine Open Internet Exchange to improve country’s internet speed

Globe Telecom calls for all-inclusive IP peering of major Internet providers in PH

Philippines: PLDT, Hong Kong’s HKT unit forge interconnection deal

Globe asks PH regulator to reassign San Miguel’s unused frequency pending Telstra’s entry

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.