TELIKOM PNG is in a strong financial position to re-capitalise Media Niugini Ltd (MNL) to expand coverage across the country, chairman Mahesh Patel says.
The State entity now owns 100 per cent of EMTV’s parent company, MNL.
Patel said yesterday the acquisition of MNL was a strategic investment decision by the Telikom board to ensure the company was positioned well in a highly evolving and dynamic market.
When asked if the Government assisted Telikom in buying MNL and what the price tag was, Patel responded: “Not at all. It was K20 million where we paid out K13 million, balance K7 million was cash and working capital.
“The transaction is compelling from both an operational and financial perspective. Our purchase of EMTV is consistent with our growth strategy and will strengthen our position in growing our markets.
“EMTV’s strategic objectives are closely aligned with our own, and Telikom is in a strong financial position to re-capitalise MNL to expand coverage across PNG and to transition from analogue to digital technology platforms, and to develop more local content.
“Our vision is for Telikom to be able to deliver television and video content to customers through the fixed and mobile broadband network across the country, thus being able to deliver a triple-play of voice, data and content from a single provider, cost-effectively.
“Without EMTV, the communication of information throughout the country would not be possible. Papua New Guinea needs EMTV; it is the most reliable mass market communication medium and source of information and infotainment.
“EMTV has a strong track record of successfully operating as a profitable business. Being the lead commercial free-to-air broadcaster in the country and the most watched channel, EMTV is the only station that broadcasts high quality local programming. Over 60 per cent of content aired on EMTV is produced locally here in PNG.”
Since 1987, EMTV set the foundation to building multimedia capabilities and portfolio, to become the country’s leading local content creator, broadcasting 22 local programmes today on air.