Globe Telecom Inc. is approaching the final stages of its PHP 45 billion (USD $768 million) sale of tower assets to Frontier Tower Associates Philippines Inc., , having recently completed another transaction that generated PHP 2.38 billion (USD $41 million) in cash flow.
The telecommunications company, led by Ayala, disclosed the transfer of an additional 187 towers to Frontier Towers. To date, Globe Telecom has handed over 2,492 towers out of the 3,529 units purchased by the tower company. The sale and lease back agreement between the parties was originally signed in 2022.
Latest Service News: Globe Telecom Forms AI Group and Appoints Chief AI Officer
As part of its strategy to raise funds for capital expenditures and other corporate needs, Globe Telecom Inc. has sold a total of 7,506 tower assets for PHP 96.4 billion (USD $1.6 billion) to multiple tower companies.
“There will be multiple closing dates which will happen as, and when, closing conditions are met. We will continue to provide updates on the relevant development of the disposal of tower assets in due course," Globe said.
Also Read: Globe Telecom Completes USD 242 Million Tower Sale to MIDC
The sale and lease back agreements align with the government's tower-sharing initiative, aimed at enhancing connectivity nationwide by enabling multiple users to utilize the same towers. This approach proves more cost-effective for telecom companies as it eliminates the need for additional tower construction.
Service News: Globe Telecom Transforms Service Assurance with MYCOM OSI
Also Read: Globe Telecom Blocks and Deactivates More Malicious SIM Cards
