GLOBE Telecom, Inc. said it had secured funds from a loan facility amounting to a total of P12 billion which it will use to fund its capital expenditures (capex).
In a stock exchange disclosure on Tuesday, the company said it signed the term loan with Bank of the Philippine Islands, China Banking Corp., and Robinsons Bank Corp. for P3 billion, P5 billion and P4 billion, respectively.
Aside from capex, proceeds from the loan will also be used to fund debt refinancing and general corporate requirements, Globe said.
In the nine months to September, the company spent P54 billion in capex, which it said is about 27% lower than last year’s level. For the year, it has said that it is allocating about $1.3 billion for capex.
Majority of its capex or about 91% was allocated for data requirements to ensure uninterrupted data access and solutions, it said.
“This effort to reduce its capex spending is in line with Globe’s focus on capital efficiency and optimization,” Globe said.
Globe is targeting to expand and enhance its network while also committing to climate action strategies.
At the local bourse on Tuesday, shares in the company climbed by P8 or 0.45% to end at P1,770 apiece. — Ashley Erika O. Jose