ABS-CBN shareholders approve investment and board expansion

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ABS-CBN is set to remain Lopez-led after shareholders approved a 6 billion peso (US$96 million) investment, as the Philippine media company looks to strengthen its financial position and fund its next phase across media and entertainment.

The investment, approved at a special stockholders' meeting, will come from companies representing three branches of the Lopez family - Crème Investment Corporation, Mantes Corporation and Presta Holding Company - alongside Lopez, Inc. and new investor I&C Holdings Corporation.

For ABS-CBN, the capital injection is part of its efforts to build what it has described as the "new ABS-CBN", with the company continuing to reach audiences through television, streaming, digital, film, music, live events and international markets.

Don't miss: ABS-CBN to retrench around 200 employees amid content industry headwinds

ABS-CBN chairman Mark Lopez said the Lopez family and its companies will continue to determine the company's strategic direction, while the new major investor will be consulted.

The investment comes alongside changes to ABS-CBN's corporate structure. Shareholders approved an increase in authorised capital stock from 1.5 billion pesos (US$24 million) to 4.5 billion pesos (US$72 million), as well as an increase in board seats from seven to nine.

The additional board seats are intended to accommodate representatives of the additional investors. The approved amendments to the company’s Articles of Incorporation will now be submitted to the Securities and Exchange Commission for approval.

The proposals were backed by shareholders representing 83% of ABS-CBN's outstanding voting shares.

For the business, ABS-CBN president and CEO Carlo Katigbak said the new capital is expected to strengthen its balance sheet, meet working capital requirements and support turnaround initiatives.

"We believe these measures will enhance the company's long-term prospects and create value for all shareholders," Katigbak said.

Previously, ABS-CBN announced plans to retrench around 200 employees, or about 7% of its workforce, as it reviewed its business amid challenging conditions in the content industry. The company cited inflation, weak economic growth and the Middle East conflict as factors affecting advertising and consumer spending.

The latest retrenchment follows years of workforce reductions after ABS-CBN lost its broadcast franchise in 2020, with its workforce falling from more than 11,000 workers during the shutdown period to 3,646 by the end of 2025.

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