MANILA -Philippine Telegraph & Telephone Corp. (PT&T) is eyeing to tap the equity market as early as the fourth quarter to raise up to P17 billion to finance the upgrade of its network infrastructure.
In a statement on Wednesday, the listed telecommunications player said it was preparing to secure P11 billion to P17 billion.
“Our timeline is fourth quarter this year to first half of next year,” PT&T president and CEO James Velasquez told the Inquirer.
He did not disclose further details, but noted the funds would be raised “mostly via equity.”
The proposed fund-raising activity comes amid its plan to expand broadband and information technology (IT) services in the Cavite, Laguna, Batangas, Rizal and Quezon areas.
“While we remain committed to our core business of connectivity, we are also exploring opportunities beyond our current business. Our investment in IT services is expected to open doors to new markets and revenue streams in the coming years,” Velasquez said in the statement.
PT&T likewise announced in April last year its partnership with United States-based Continental Advisory Services LLC, along with associate Urban Logistics Advisory, to upgrade its network infrastructure.
PT&T saw its net losses decline to P14.25 million last year from P22.79 million in 2021 after booking robust revenue growth for the period.
Total revenues climbed by 11 percent to P575.83 million. Fixed broadband business accounted for 84 percent of the top line figures.
Core expenses, meanwhile, rose by 10 percent to P464.96 million from P421.82 million the previous year.
Last February, PT&T welcomed new investor MRC Allied Inc. via a P500-million capital infusion. PT&T majority owner Menlo Capital Corp. signed an agreement with MRC for the acquisition of 500 million common shares at P1 each.
According to the telecommunications player, MRC’s domestic network and business expertise makes it a “strategic” partner as it seeks to expand its presence.