Globe Telecom raises 25B pesos from preferred shares offer

Globe Telecom raises 25B pesos from preferred shares offer

Globe Telecom Raises PHP 25 Billion Through Preferred Share Offering

Globe Telecom Inc., a leading Philippine telecommunications provider, has successfully raised PHP 25 billion through the issuance of non-voting preferred shares, following regulatory approval from the SEC. The offering, structured under the company's shelf registration program, includes a PHP 15 billion base component (7.5 million shares) and a fully exercised PHP 10 billion oversubscription option (5 million shares) according to the offering details. The shares are divided into two series: Series A (GLOBA) with a 6.1179% annual dividend and Series B (GLOBB) offering a higher 6.7631% yield, reflecting longer-term investment horizons.

The securities, listed on the Philippine Stock Exchange under symbols GLOBA and GLOBB on March 2, 2026, are cumulative, non-voting, non-convertible, and redeemable perpetual preferred shares as per SEC documentation. Proceeds will primarily refinance Globe's $600 million bonds due in 2026, avoiding stepped-up interest costs, while also funding capital expenditures for network expansion and product development according to company statements. The company maintains a 2026 capex budget below US$1 billion, aligning with 2025 spending levels.

Despite a 4% decline in net income to PHP 23.26 billion in 2025 due to flat revenue, Globe expressed confidence in growth driven by its expanded service portfolio and the market leadership of its e-wallet arm, GCash as reported by the SEC. The offering was managed by BPI Capital, BDO Capital, and China Bank Capital, with additional support from First Metro Investment Corp. and Security Bank Capital according to financial reports.

Investors are advised to review the prospectus and consult financial advisors before participating in such offerings as stated in official documents. The transaction marks Globe's first tranche under its 20-million-share preferred shelf program, underscoring its strategy to optimize capital structure while advancing operational goals in a competitive market according to market analysis.

This article is based on publicly available information as of March 2, 2026.