GLOBE Telecom, Inc. announced on Thursday that it signed term loan facilities with China Banking Corp. and Philippine National Bank for P5 billion and P7 billion, respectively.
The company will use the loans to finance its capital expenditures (capex), Globe said in a disclosure to the stock exchange.
The Ayala-led telco targets to spend P70 billion for capex this year.
“The record-breaking capital expenditure supports Globe’s continuous modernization of its network to make 5G as well as fiber technology available to more customers nationwide,” it said.
The company has said it already spent more than P19 billion in the first three months of the year.
“Around 91% of the investment went to data-related requirements to support the fast-growing data usage and provide superior data customer experience,” Globe said in a statement in May.
Globe’s attributable net income reached P7.31 billion in the first three months of the year, up 11% from P6.58 billion in the same period in 2020.
Its total revenues for the first quarter rose 4% to P42.85 billion from P41.19 billion in the same period last year.
Service revenues — which include mobile, home broadband, corporate data, and fixed line voice — increased 2.5% to P37.81 billion from P36.88 billion previously.
Globe Telecom shares closed 0.54% lower at P1,830 apiece on Thursday. — Arjay L. Balinbin