What's Happening?
Globe Telecom has obtained a term loan facility of approximately $128.48 million from Mizuho Bank to support its capital expenditures and debt refinancing. The Philippines' leading mobile operator is focusing
on strategic capital management, aiming to keep its capex below $1 billion in 2025. The company has invested significantly in data-related projects, including the construction of new cell sites and the expansion of its 5G network.
Why It's Important?
This financial move is crucial for Globe Telecom as it seeks to enhance its network infrastructure and improve service quality. The investment in data-related projects aligns with the growing demand for reliable broadband services, which is essential for economic growth and digital transformation in the Philippines. The loan will help Globe Telecom maintain its competitive edge in the telecommunications industry.
What's Next?
Globe Telecom plans to continue its network expansion efforts, focusing on increasing its 5G footprint and improving broadband services. The company aims to strengthen its free cash flow position and achieve a sustainable capex-to-revenue ratio, which could lead to further investments in technology and infrastructure.
