Running a telecommunications business, no matter lucrative can be an expensive undertaking. For Globe, which is co-owned by one of the oldest conglomerates in the Philippines, the Ayala Group, this meant risking going through debt and selling assets to remain afloat.
The telecommunications company, which is considered one of the country’s major players, has been making headlines recently with talks of doing just the latter, all to rack up large sums and perpetuate the enterprise’s operations. But the selling has not stopped just yet.
Per Globe Telecom Inc GLO.PS’s statement on Tuesday, via Reuters, the company had just recently signed a deal aimed at the selling of more than a thousand towers, priced cumulatively at Php20 billion ($340 million)—that is, in order to pay off the company’s maturing debts as well as fund its planned expansions.
Via the deal, it sees Globe’s 1,350 telecom towers across Visayas and Mindanao sold to the Macquarie Group-based Phil-Tower Consortium, though leased back.
To date, the Philippine telco has sold an overall 7,059 towers for an equivalent of Php91 billion.