Major Philippines telecommunications provider Globe Telecom has announced a 15 billion (PHP) term loan facility from Metrobank (Metropolitan Bank and Trust Company).
The company stated in an exchange filing last week that the funds will be targeted towards financing capital expenditures, refinancing debt and general corporate demands.
As of the first half of 2023, Telecom Globe, otherwise known as Globe, has invested 37.7 billion (PHP) in CAPEX, with 90% of this spending allocated to the construction of data networks.
The company aims to revert free cash flow to more sustainable levels and to meet consumers’ rising demand for data. In comparison to a similar period during 2022, Globe reports that the 2023 CAPEX period is 25% lower than the previous.
Globe stands as the first telecommunications firm to launch 5G networks in the Philippines and the company has announced plans to continue deployment of 5G technology across the country.
Nationwide, Globe has enabled a total of 356 new 5G sites, consequently increasing 5G coverage to 97.44% across the National Capital Region. In key cities such as Mindanao and Visayas, outdoor coverage reaches 91% of key cities.
Metrobank’s loan will benefit consumers and ensure Globe is in a strong position to meet growing data services demand, by enabling Globe’s continued investment in network infrastructure and expansion of existing 5G coverage across the region, improving the speed and reliability of internet services.
The statement also revealed that as of June 2023, the corporation has created 543 new cell sites and upgraded 5,084 mobile sites to LTE in order to meet customers’ increasing data demands.
Globe has also announced the deployment of 148,000 fiber-to-the-home (FTTH) lines. In comparison to last year, FTTH rollout has been drastically reduced in order to maximize the company’s existing fiber inventory.