Globe bankrolls P15-B expansion

Ayala-backed Globe Telecom Inc. has secured P15 billion in additional funding from Metropolitan Bank & Trust Company, a move that will strengthen the company's financial capabilities to bankroll network improvements and expansion.

In a report to the Philippine Stock Exchange, the company said it signed the term loan facilities on Monday.

According to Globe, the proceeds will particularly finance Globe's capital expenditures, debt refinancing, and/or general corporate requirements.

Responding to the growing need to ramp up mobile data services amid a digital-savvy landscape, Globe has been also boosting its services to offer seamless and efficient services to users.

Proceeds mostly for data network

In the first half, the company invested P37.7 billion in capital expenditure, which was 25 percent lower than the similar period last year. It was also consistent with the company's efforts to bring free cash flow back to more sustainable levels.

The majority or about 90 percent of the capex spending was allocated to data network builds to meet the consumer's escalating demand for data.

As of June, Globe built 542 new cell sites and upgraded 5,087 mobile sites to LTE to meet the rising data demands of its customers.

The company also deployed around 148,000 fiber-to-the-home lines, significantly lower than last year's rollout to maximize the utilization of its existing fiber inventory.

Relatedly, Globe continues to deploy 5G wireless technology nationwide, firing up 356 new 5G sites across the Philippines, increasing its 5G outdoor coverage to 97.44 percent of the National Capital Region and 91 percent of key cities in Visayas and Mindanao.