Globe Telecom Inc. said it plans to raise capital expenditures by $300 million this year for network expansion.
Globe said it was seeking approval from its board of directors for an additional $300 million to be invested for network expansion.
The company earlier set a capex guidance of $750 million or P35.4 billion for the full year of 2016.
Globe spent around P17 billion in capex as of end-June this year to support the growing subscriber base and increasing appetite for data.
Globe’s capex this year would mostly be invested in data-related projects, including long-term evolution technology for mobile and home, capacity and coverage augmentation of 3G and HSPA+, modernization of fixed-line data infrastructure and requirements for transmission facilities.
Globe’s chief commercial officer Alberto De Larrazabal earlier said there would be a natural increase in spending in the third and fourth quarters to roll out more cell sites using the 700 megahertz, 1800 Mhz and 2600 Mhz.
Under a three-year program submitted to the National Telecommunications Commission, the Ayala-led telco committed to provide mobile services, including voice, text and data to 95 percent of municipalities and cities by the end of 2018, using the additional spectrum it acquired from San Miguel.
Globe expects that about 2,200 existing cell sites representing over 30 percent if its network nationwide would be upgraded using the additional spectrum from the co-use agreement by end-2016.
Globe earlier signed a 10-year P7-billion term loan facility with Union Bank of the Philippines which would be used to finance the company’s capital expenditures.
Globe reported a net income of P8.97 billion in the January-to-June period, up from P8.71 billion a year ago.