MANILA, Philippines - President Aquino has approved a recommendation to sell broadcast network International Broadcasting Corp. 13 (IBC-13), the state agency overseeing government-owned and -controlled corporations (GOCCs) said on Monday.
"The privatization of IBC-13 will be done through public bidding with an estimated floor price of P1.977 billion," the Governance Commission on GOCCs (GCG) said in a statement.
GCG officials are still being contacted for other details as of this posting.
IBC-13, which began in 1960, was part of the sequestered Marcos assets by the Presidential Commission on Good Government.
According to the GCG, the privatization of IBC-13 will "rationalize" the government's exposure in the media industry, which includes operating the Philippine Television Network Inc. (PTV-4).
The state also has a minority stake in Radio Philippines Network or RPN-9.
PTV-4, the GCG said, is "already sufficient to address market failures in the private broadcast industry such as providing programs with social value, but are not considered profitable."
IBC-13 is also putting stress on the government's balance sheet. The network's net losses amounted to P45.26 million from 2010 to 2014 despite receiving subsidies totaling P23.56 million last year.
"The privatization should pave the way for infusion of additional capital to revitalize the network, which will also be able to operate with more flexibility as private entity," GCG pointed out.
Since the passage of Republic Act No. 10149 in 2011, the GCG said it already succeeded on shuttering 22 "non-performing" GOCCs, while classifying as "inactive" 25 others.