In so doing, the majority is bringing out the failure of its past and present commercial ventures to the fore.
The so-called Lopez family majority is exposing itself in the current war against a cousin and a well-managed conglomerate.
It has made the “poison pill” clauses on the major energy deals of First Gen Corp. the battleground of the public feud with cousin Federico “Piki” Lopez.
In so doing, the majority is bringing out the failure of its past and present commercial ventures to the fore.
ABS-CBN Corp., BayanTelecommunications Inc., Express Telecommunication Co. Inc., ABS-CBN Mobile and Sky Cable Corp. have become losing propositions that drained the coffers of the family.
The so-called majority has relentlessly perpetuated a narrative of Piki’s alleged lack of transparency, framing it in dense, technical language about control entrenchment, disclosure timing and corporate governance norms.
But corporate jargon and legalese obscure a fundamental question―who wants Piki out―and who wants him to stay?
On one side are the cousins representing the so-called Lopez majority, who controls 71 percent of Lopez Inc., the family’s private holding company. This is the faction identified with ABS-CBN, which incidentally has not declared dividends since it failed to renew its franchise in 2020.
On the other side are some of the most astute, hard-nosed players in Philippine and global business―people who have put real capital on the line.
They opted for the clauses because they trusted Piki’s leadership on complex, long-gestation energy projects.
Teresita Sy-Coson of BDO Unibank Inc. has extended critical financing backed by leadership continuity covenants. The Social Security System has publicly affirmed continued confidence in First Gen’s current management. International heavyweights KKR, Macquarie and Tokyo Gas Co. Ltd. of Japan maintain significant stakes or partnerships tied to the company’s portfolio.
These are not sentimental relatives. They are sophisticated counter-parties and institutional investors who have studied the numbers, the strategy and the executive running the show.
What they see in Piki is proven foresight and acumen. Under his leadership, First Gen is successfully pioneering the pivot into renewables (geothermal, hydropower, wind and solar) while maintaining consistent profitability.
The company continues to attract serious capital precisely because of its proven track record on long-term energy infrastructure in a transforming market.
First Gen from 2020 to 2025 registered a consolidated net income of approximately US$2.3 billion (P127.68 billion).
In contrast, ABS-CBN accumulated roughly P45.5 billion in net losses over the same period. The financial hemorrhage is compounded by a long, value-destructive pattern of investing in declining or disrupted technologies, resulting in over P36.3 billion in cumulative investment losses across failed ventures, like BayanTel, Extelcom, ABS-CBN Mobile and Sky Cable Corp.
In ABS-CBN’s 2025 financial statements, independent auditor SGV noted that the network’s current liabilities exceeded its current assets by P12.4 billion and concluded that “a material uncertainty exists that may cast significant doubt on [ABS-CBN ’s] ability to continue as a going concern.”
Against this backdrop, the so-called Lopez majority’s intense focus on “poison pills” begins to look less like a principled stand for governance and more like a convenient smokescreen.
By keeping public attention on technical clauses and alleged entrenchment, they divert scrutiny from an uncomfortable reality―their media business is practically insolvent and has not paid them a single dividend in the last five years, while the energy business―led by the cousin they want to oust―continues to perform strongly and draw confident backing from the market’s smartest money.
First Gen calls the clauses a “vote of confidence” in Piki’s management. For the Lopez “majority,” the clauses “secured [Piki’s] … control of the company …”
BDO Unibank Inc., the biggest lender in the Philippines, is sure where to invest and place its money. It showed confidence by issuing standby letters of credit conditioned on Piki’s continued and active involvement in First Philippine Holdings Corp (FPH), the parent of First Gen.
Piki, meanwhile, vowed to fulfill his fiduciary duties to all shareholders and remains steadfast as a responsible steward of the various businesses―FPH and First Gen―which have institutional minority shareholders with significant economic interests.
E-mail: rayenano@yahoo.com or extrastory2000@gmail.com
