Globe secures P20B in loans
FUNDRAISING. Globe Telecom Inc. has secured some P20 billion in loans. —CONTRIBUTED PHOTO
MANILA, Philippines – Globe Telecom Inc. has secured P20 billion in loans to bankroll the construction of additional telecommunication infrastructure, refinance debts and fund general corporate matters.
In a disclosure over the weekend, the Ayala-led telco giant said BDO Unibank Inc. and Metropolitan Bank & Trust Co. each extended a P10-billion loan.
This year, Globe has programmed capital expenditures of below $1 billion, the bulk of which is allocated to meet its data requirements.
READ: Ayala tags 2024 as ‘strongest year ever’
“Globe’s ongoing investment in network infrastructure reflects its dedication to providing equal access to the digital economy for all communities in the Philippines,” the company said.
Juan Carlo Puno, the newly minted chief financial officer of the telco giant, earlier said they were channeling some of their capital expenditures to the broadband business “because we are seeing a lot of signs given the growth in the fourth quarter.”
The listed company spent P56.2 billion last year for capex.
Globe constructed 1,212 new cell sites, upgraded 4,613 existing mobile sites and deployed 67,456 fiber-to-the-home lines last year.
READ: Globe rings up P706M from tower sales
The telco giant also added 587 new 5G sites across the country. It now has 98.69-percent coverage in Metro Manila and 96.95-percent coverage in key cities of Visayas and Mindanao.
Apart from loans, Globe has also been raising funds by unloading some of its tower assets in multiple sale and leaseback deals.
The telco giant received a total of P706 million last year from the recent closing of its tower asset sales to MIESCOR Infrastructure Development Corp. (MIDC) and Phil-Tower Consortium Inc.
The Ayala-led company sealed a P26-billion sale and leaseback agreement with MIDC for its 2,180 towers in 2022. Globe has closed 1,713 towers so far.
In the same year, Globe also sold 1,350 towers to PhilTower for P20 billion. It has turned over 1,160 towers as of the latest closing.
The sale and lease back of tower assets is in line with the government’s tower-sharing initiative, which enables operators to expand footprint across the country without the need of putting up more facilities.
