PLDT to Acquire Radius Telecoms for P2.94 Billion

Why It Matters

Full control of Radius strengthens PLDT’s network redundancy and positions it to defend market leadership amid intensifying broadband competition in the Philippines.

Key Takeaways

• PLDT to acquire remaining 65.1% of Radius for ~ $53 million.
• Full ownership gives PLDT 100% control of fiber backbone assets.
• Transaction funded 60% upfront, balance due within 10 months.
• Expands PLDT’s fiber network to over 1.25 million km.
• Intensifies rivalry with Converge and Globe as subscriber race heats.

Pulse Analysis

PLDT’s acquisition of Radius Telecoms marks a decisive step in consolidating the Philippines’ broadband infrastructure. By purchasing the remaining 65.1% stake for roughly $53 million, PLDT will own the entire fiber backbone that services commercial buildings, residential units, and township projects. The transaction, structured with a 60% upfront payment and the remainder due within ten months, now awaits regulatory clearance. Full ownership not only streamlines network management but also enhances redundancy, a critical factor as data demand surges across the archipelago.

The broadband market in the Philippines is heating up, with Converge ICT Solutions adding over 100,000 new subscribers in Q1 and Globe Telecom rolling out low‑cost offerings. PLDT, still the leader with 4.29 million subscribers and 1.25 million kilometers of fiber, faces pressure to expand capacity and improve service quality. Controlling Radius’s assets allows PLDT to accelerate fiber deployments, close coverage gaps, and potentially offer bundled services that compete on price and speed. This strategic move could also help PLDT meet its growth targets ahead of Converge’s 4 million‑subscriber goal for 2027.

For investors, the deal signals PLDT’s commitment to long‑term infrastructure investment, a key driver of digital‑economy growth in Southeast Asia. Regulatory approval will be the next hurdle, but once cleared, the integrated network could unlock new revenue streams, such as wholesale fiber leasing and enterprise solutions. Moreover, a unified fiber platform positions PLDT to support emerging technologies like 5G backhaul and edge computing, reinforcing its role as a backbone provider not just domestically but also for regional connectivity initiatives.

Deal Summary

Philippine telco PLDT Inc. signed a share purchase agreement to buy Paragon Vertical Corp.’s 65.1% stake in Radius Telecoms Inc. for P2.94 billion, pending regulatory approval. The deal will give PLDT full ownership of the broadband unit.