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Globe borrows $90m from China Bank
31 January 2012
Philippines operator Globe will use proceeds to fund capital expenditures for 2012, including network upgrade
Globe Telecom of the Philippines has entered a $90 million floating rate term loan facility with China Bank to “finance capital expenditures for 2012”, the company said in a statement. The deal will be functional for a period of 10 years. China Bank is a privately owned Philippines bank.
Planned expenditures includes a $790 million investment in its five-year network modernisation and IT transformation programme, the operator said.
Of the total amount, $640 million will be used in 2012 and 2013. Globe, the owners of which include Singapore Telecom and Philippines infrastructure group Ayala, said that the network upgrade and IT transformation plans are aimed at improving “voice and data capacity in anticipation of the growing demand for broadband and mobile data use”.
Globe entered a seven-year floating-rate term loan facility in 2011 of $116 million with BDO Unibank, and another $116 million loan transaction with Rizal Commercial Banking. GTB
Further reading from Global Telecoms Business:
Globe Telecom to spend $790m in upgrade 11 Nov 2011
PLDT to sells assets to win Digitel deal 19 Oct 2011
Globe wants PLDT license revoked 09 Aug 2011