By Kenneth Christiane L. Basilio, Reporter
A HOUSE of Representatives committee may start discussing proposals seeking to provide media company ABS-CBN Corp. with a fresh 25-year franchise by next week, a congressman said on Thursday.
Parañaque Rep. Gus S. Tambunting, who heads the House legislative franchises panel, said they will “scrutinize” the measures seeking to give ABS-CBN a new franchise to operate, four years after lawmakers denied its initial franchise renewal application.
“I’m trying to set a meeting next week,” Mr. Tambunting told BusinessWorld. “I’m still waiting for the documents, but I already asked the committee secretary for them.”
The prospects of providing ABS-CBN a new franchise gained attention in early January after Albay Rep. Jose Ma. Clemente S. Salceda filed the latest measure to allow the media giant to operate radio and television broadcasting stations.
Five bills seeking to provide ABS-CBN with a new franchise have been filed since 2022.
The House legislative franchises panel would likely discuss the measures next week, said Mr. Tambunting. “There’s no approval, we’ll only discuss it.”
He said lawmakers would look at the “feasibility” of providing ABS-CBN a new franchise. He did not elaborate.
“We have to look at the feasibility of the whole thing, that’s what we need to do.”
ABS-CBN was forced to halt its broadcast operations in May 2022 after ex-president Rodrigo R. Duterte’s allies in Congress denied its franchise renewal application owing to alleged tax issues and violations of its original franchise terms.
“The stock price may experience volatility, with sharp increases and potential pullbacks, as traders react to news updates from the hearings,” Globalinks Securities and Stocks, Inc. Head of Sales Trading Toby Allan C. Arce said in a Viber message.
He said trading activity will likely surge as short-term traders aim to make a profit on the potential outcomes of the hearing.
“Any indications of opposition or delays in the legislative process could temper investor enthusiasm and lead to short-term selloffs,” he said. “Speculative trading might dominate next week, with spikes in both buying and selling activity.”
April Lynn Lee-Tan, chief equity strategist at COL Financial Group, Inc., said via Viber: “It might have a positive impact like before.”
ABS-CBN shares retreated by 2.22% or P0.11 to P4.84 apiece on Thursday.
