Globe Telecom Inc. said Tuesday it secured an approval from the Philippine Stock Exchange for its P17-billion stock rights offering, lower than its original offer size of P32 billion.
The telecom unit of the Ayala Group said the offer period would be from Oct. 3 to Oct. 7, while the tentative listing date is on Oct. 28.
Globe said the proceeds would be used to repay debt and finance capital expenditures. The company is spending P70 billion this year to build more 4G, 5G networks and fiber-to-the-home lines.
Globe chief finance officer Rizza Maniego-Eala earlier said the stock rights offer would enable the company to expand its digital ecosystem and differentiate itself in the market, as it capitalizes on opportunities in and beyond telecom.
This is the first time Globe will do a rights offer in the capital market in over two decades.
The company earlier reported a net income of P13.08 billion in the first half, up 13 percent from P11.49 billion in the same period last year. Core net income grew 19 percent to P13.2 billion from P11.1 billion a year earlier.
Globe said consolidated service revenues in the first six months reached P75.5 billion, up 4 percent from P72.4 billion a year ago, amid the economic challenges the country is facing.
The company said the main growth driver continues to be data, mostly from Home broadband on increased digital activities among Filipinos.