Funds to refinance debt, capex needs
By Miguel R. Camus
Philippine Daily Inquirer
10:48 pm | Friday, December 6th, 2013
Philippine Long Distance Telephone Co. is planning to sell P10 billion to P15 billion in long-term fixed-rate bonds in the first quarter next year to refinance debt and for capital expenditures, a filing at the Philippine Stock Exchange showed Friday.
The country’s biggest telecommunications provider said it filed the application for the debt fundraising with the Securities and Exchange Commission. The proposed offer involved seven- and 10-year bonds through a base offer of P10 billion and a P5-billion over-subscription option.
The telecommunications company, meanwhile, said the bonds would be listed at the Philippine Dealing and Exchange Corp.
BDO Capital and Investment Corp., BPI Capital Corp., First Metro Investment Corp. and The Hong Kong and Shanghai Banking Corp. Ltd. were tapped as joint issue managers, joint lead underwriters and joint bookrunners, the filing showed.
“The net proceeds of the bond issuance will be used to finance capital expenditure or refinance existing obligations, the proceeds of which were utilized for service improvements and expansion,” PLDT said.
PLDT president Napoleon Nazareno earlier said its capital spending next year could inch higher as the company repairs or replaces infrastructure in Eastern Visayas damaged by Supertyphoon “Yolanda” last month.
The company was expecting capital spending next year to be flat at about P29 billion, Nazareno said.
Nazareno estimated that 140 base stations went down during the storm. Restoration efforts since the storm barreled through Visayas last Nov. 8 has brought coverage in affected areas up to 98 percent, PLDT said in a statement yesterday, and full restoration was expected “in the next few days.”
PLDT reported last month that net income rose 2 percent to P29 billion in the nine months through September, buoyed by higher revenues and one-time items.
Consolidated service revenues hit P121.6 billion, up 2 percent while core earnings, which strips out exceptional items, was up 4 percent to P28.8 billion during the nine-month period.
Cellular subscribers, meanwhile, grew 4 percent to 72.5 million at the end of the nine month period.
Smart ended the period with 24.7 million subscribers, Talk ‘N Text had 31.9 million and Sun Cellular had 15.8 million subscribers.
Follow Us
Recent Stories:
Short URL: http://business.inquirer.net/?p=155447
Tags: Business , capital expenditures , debt refinancing , fixed-rate bonds offering , PLDT
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
seo tools
No comments:
Post a Comment