ABS-CBN Corp. said Wednesday it finalized a deal with property developer Ayala Land Inc., with the signing of the deeds of absolute sale for a portion of its broadcast facility in Quezon City for P6.24 billion.
The Lopez-led broadcast firm said it sold 30,000 square meters (sq. m.) of the 44,027.30-sq. m. property to Ayala Land.
The property houses several buildings, including production facilities. ABS-CBN’s offices and studios will be consolidated in the remaining 14,027.30 sq. m. of the property that it will retain.
“Proceeds of the sale of the property shall be used to partially pay and service its outstanding bank loans, pursuant to the Real Estate Mortgage between ABS-CBN and its Lenders,” the company said.
With the sale, ABS-CBN expects to further reduce its debt to around P13 billion by the end of this year from P21 billion in 2020.
ABS-CBN earlier reported a reduced net loss of P2.1 billion in for the first half of 2024, a 5-percent improvement compared to the same period last year.
The company’s total consolidated revenue in six months amounted to P7.8 billion, down 11 percent from P8.8 billion in the same period in 2023.
Consolidated operating costs and expenses amounted to P10.2 billion, a 4-percent reduction year-on-year. The cost reduction mainly came from facilities-related expenses in the cable and broadband business.
