Philippine mobile operator Globe Telecom has received approval from the country’s Securities and Exchange Commission (SEC) to issue PhP7bn (US$160m) bonds.
The issue will be split between seven-year fixed rate bonds and 10-year fixed-rate bonds, the…
Philippine mobile operator Globe Telecom has received approval from the country’s Securities and Exchange Commission (SEC) to issue PhP7bn (US$160m) bonds.
The issue will be split between seven-year fixed rate bonds and 10-year fixed-rate bonds, the telco said in a notice to the Philippine Stock Exchange.
Globe Telecom, which has so far raised US$195m this year, said in early May it received board approval for the offering – the proceeds of which will be used to fund capex requirements and to pre-pay debt.
In a recent interview with TelecomFinance, CFO Albert de Larrazabal said that the company’s effort to raise funding is driven by attractive market conditions. “We are indeed looking at financing given that interest rates are really low,” he said.
He also stressed that there will be opportunities to refinance some of its maturing debt, “which usually stands at between US$150m and US$220m a year.”
The operator is currently in the process of acquiring local fixed-line operator Bayan Telecom by converting its debt into equity. It is also completing its network modernisation programme.
