Jeffrey A. Hedberg, Telekom's Board Member International: "Strategic Step toward strengthening our commitments in the Philippines" Deutsche Telekom AG is contributing its 40 % stake in Isla Communications Co Inc (Islacom) of the Philippines to the leading GSM mobile communications provider Globe Telecom Inc in the form of a share swap. Agreements to this effect were signed in Manila by Ayala Corporation, Globe Telecom Inc, Singapore Telecom International Pte Ltd and DeTeAsia Holding GmbH, which holds Deutsche Telekom's shareholdings in South-East Asia.
Jeffrey A. Hedberg, Deutsche Telekom's Board Member for International Affairs, described the agreed merger as an "important strategic step toward strengthening Deutsche Telekom's commitments in the Philippines. The merged company will create a preeminent platform for meeting the long-term growth objectives for shareholders, customers and employees."
After the inclusion of Islacom, Globe Telecom will be the market leader in the Philippines with 2.5 million mobile communications subscribers and a 44 % market share. Globe also offers fixed-network communications in various parts of the Philippines.