GLOBE TELECOM, INC. has set the value for its P25‑billion follow-on preferred share offering, with Series A and B shares yielding 6.1179% and 6.7631% each year, respectively, as a part of a plan to redeem perpetual capital securities and fund capital expenditures.
In a regulatory filing on Wednesday, Globe said the offering consists of 12.5 million non-voting preferred shares at P2,000 apiece, including 7.5 million shares and an oversubscription allotment of 5 million shares.
The shares will probably be issued in two tranches, with the Series “A” Non-Voting Preferred Shares carrying a dividend rate of 6.1179% each year, and the Series “B” Non-Voting Preferred Shares having an initial dividend rate of 6.7631% each year.
Gross proceeds from the offering will total P25 billion if the oversubscription option is fully exercised, Globe said.
The Ayala-led telecommunications company said it plans to make use of proceeds to redeem all or a portion of Globe’s perpetual capital securities and to fund a part of its capital expenditure program, in keeping with the corporate’s preliminary offer term sheet.
BPI Capital Corp., BDO Capital & Investment Corp., and China Bank Capital Corp. are the joint lead issue managers, underwriters, and bookrunners. First Metro Investment Corp. and Security Bank Capital Investment Corp. are also acting as underwriters and bookrunners.
Globe said the offer period will run from Feb. 13-20, with the problem date scheduled for March 2, 2026.
For 2026, Globe expects low- to mid-single-digit revenue growth, following a decline in 2025.
The Ayala-led telecommunications company reported a 4.12% drop in net income in 2025 to P23.3 billion from P24.3 billion in 2024, weighed down by higher depreciation and interest expenses and lower revenues for the yr.
Globe said it anticipates capital expenditures to stay below $1 billion, citing a disciplined approach to capital optimization and a give attention to extracting greater returns from prior network investments while continuing network expansion.
On the stock exchange on Wednesday, Globe shares closed unchanged at P1,730 apiece. — Ashley Erika O. Jose