‘PLDT, Globe benefit from aborted SMC-Telstra deal’

THE aborted partnership between San Miguel Corp. (SMC) and Australian telecom provider Telstra will delay the entry of a third player in the duopolistic local telco industry, and will give a short-term boost to the credit standing of Philippine Long Distance Co. (PLDT) and Globe Telecom (Globe), Fitch Ratings Inc. said.

On Monday SMC and Telstra announced that negotiations on a potential partnership deal estimated to be worth $1 billion have been terminated after the two parties failed to reach a favorable agreement.