Globe Telecom on Tuesday said that with its capital expenditure of P27 billion for 2014, the company is now well-equipped to aggressively advance its mobile data footprint amid growing customer demand for Internet connectivity.
“Data will remain a key investment area for the company in 2014 in anticipation of significant demand for the service. About a quarter of the company’s capital expenditure of P27 billion for 2014 will be devoted to data-related investments, including deployment of LTE [Long Term Evolution] technology and strengthening its broadband infrastructure,” Globe President and Chief Executive Officer Ernest Cu said.
To partly finance its P27 billion programmed capital expenditure this year, Globe will issue P10 billion worth of non-voting preferred shares.
Globe said that its board has approved the issuance, offer, and listing of up to 20 million non-voting preferred shares with an issue volume of up to P10 billion. The board also appointed BPl Capital Corp. as issue manager for the transaction.
The company may also raise P2 billion this year to partially finance its capital expenditure.
Globe said that with its recently modernized network infrastructure, it has delivered the most modernized telecommunications infrastructure in the Philippines, putting in a brand-new access, transport, and core network nationwide within a two-year period.
This has enhanced coverage in major points of convergence and has provided a more reliable network for messaging and voice calls, high-speed internet surfing, seamless video streaming, fast upload of photos and videos to social media sites, the company said.
In addition to providing all of its base stations with state-of-the-art equipment, Globe said it continues to optimize its modernized cell sites for maximum performance while aggressively building on its transport network.
The company’s fiber optic footprint in the country now includes undersea cable systems in strategic sites such as those in Boracay and Coron in Palawan, boosting linkages of these two premier tourist destinations with the rest of the country and the world.
Globe said that resiliencies and protection systems were also increased for better network availability and delivery, providing support for expanding business requirements especially for data.
Such move is expected to help sustain the company’s revenue growth.