PLDT sells part of its stake in Rocket Internet to fund massive capex
Telecommunications giant PLDT Inc. is selling more than half of its stake in German technology firm Rocket Internet for 163.2 million euros or around P10.5 billion to partly fund its record capital spending program this year.
?PLDT Online Investments Pte. Ltd., an indirect subsidiary, has committed to accept the public share purchase offer of Rocket Internet SE for at least 6.8 million shares, or approximately 67.4 percent of the total number of Rocket shares it directly owns.
Rocket earlier announced plans to buy back up to 15.47 million Rocket shares at 24 euros per share. The offer period will run until May 2.
PLDT, which currently owns a 6.1 percent stake in Rocket, has set a capital spending program of P58 billion this year to further expand its fixed and mobile broadband networks. The amount is lower than the P40 billion earmarked in 2017.
The company bought 10 percent of Rocket in 2014 for 333 million euros or $445 million.