Palace backs ETPI’s foreign investors

The Office of the President expressed support recently for the entry of the Australian group AGNI into international gateway facilities operator Eastern Telecommunications Philippines, Inc. (ETPI) following the acquisition by the Sydney-based investor group of a 40-percent stake in the company.

The group is reportedly in the process of completing the acquisition of an additional 17.7-percent stake at ETPI through a local partner.

Palace sources said the Office of the President has supported the move by AGNI to name a new president and CEO following a recommendation by erstwhile ETPI president Salvador Hizon for government to back the appointment of an AGNI nominee as top company executive.

President Arroyo had earlier expressed her preference for Hizon to stay on as ETPI president and CEO.

The palace official said Hizon recommended that in view of the acquisition by AGNI of a majority stake in the company, it would be appropriate to support their move to name the CEO.

Hizon represents the government’s 30.2-percent stake in ETPI.

ETPI chairman Dr. Richard Freyer recently announced the appointment of Pablo Lobregat to replace Hizon. Lobregat represents Aerocom Investors and Managers Inc. in the ETPI board.