Globe Telecom Inc.’s (Globe) newly acquired subsidiary, Bayan Telecommunications Inc. (BayanTel) is now out of corporate rehabilitation, its top official said Thursday.
Asked about BayanTel’s corporate rehabilitation status in a chance interview, BayanTel President Gil Genio said, “Yes, it is over. The court order came out already.”
Before Ayala-led Globe obtained full control of BayanTel, the telco had been targeting to get out of corporate rehab by 2023.
In July, Globe bought majority of BayanTel’s shares through a P1.83 billion debt-to-equity deal, acquiring control over the Lopez Holdings-owned telecommunications company.
The transaction boosted Globe’s shares in the telco to 98.57 percent from 56.87 percent.
In addition, Genio said that Globe is looking to infuse at least $200 million in fresh capital into BayanTel to modernize its network.
“We’re probably spending, in the next couple of years, anywhere from $200 to $300 million modernizing the Bayan network,” he said.
Genio said Globe has so far spent $172 million for the acquisition of BayanTel, including the debt-to-equity deals.