The acquisition gives ISM, controlled by the group of former Trade Minister Roberto Ongpin, a total stake of 57.7
percent and majority control of ETPI, which provides fixed-line services such as broadband Internet and data transmission.
With the completion of the sale, ISM said it will now be able to proceed with the increase in its capital stock as previously approved by shareholders
AGNI held the shares through its local unit AGN Philippines Inc.
The funding for the acquisition of the shares came from the $8.2-million private placement with Ashmore Investment Management Ltd., Boerstar Corp. and Araza Resources Inc.
In July last year, ISM swapped 6.82 billion of its own shares for a 17.7-percent stake in Eastern Telecom held by local business group Aerocom Investors & Managers Inc.
ISM said ETPI would be a central component to its long-term plan, started in 2002, to shift its business focus to operations such as pay-television, multimedia and information technology, from mining.
ISM, formerly Itogon-Suyoc Mines Inc., was restructured in 2002 by Ongpin’s business group to focus on pay-television, multimedia and information technology.
The company said it is optimistic it can turn around ETPI , which posted losses over the past five years due to a decline in demand for fixed-line phone service, as ISM could leverage ETPI’s fixed-line and data business with other Ongpin group businesses which include PhilWeb Corp., an Internet-based service provider.
ETPI previously controlled by Cable & Wireless Plc., is one of the oldest telecommunications companies in the Philippines. Its main sources of revenues are the carrier, data, Internet and voice businesses.