DITO Telecommunity Corp. has earmarked over P50 billion for capital expenditure (capex) this year to fund the expansion of its network coverage to 70 percent nationwide.
In a virtual briefing, Rodolfo Santiago, DITO chief technology officer, said the company is implementing a more than P50-billion network rollout for 2022, with majority of the budget allocated for data center, submarine cables and building of additional towers.
DITO has so far built over 4,500 towers.
Santiago said the company targets to build an additional 300 towers to comply with the third-year audit by government set on July 8 which requires DITO to expand its coverage to 70 percent of the population and increase speed from 27 megabits per second (Mbps) to 50 Mbps.
“Right now, we’re more than 4,500 towers. By May or July 8, we would like to hit 4,800 to satisfy the 70 percent (coverage),” he said.
Santiago added the company has secured the funding for this year’s capex which is through a combination of debt and equity.
For funding beyond 2022, Adel Tamano, DITO chief administrative officer, said the company expects to draw out the $4-billion loan within the year.
“Beyond 2022…long-term loan that’s something that we’re finishing actually within the year. We are finalizing the documentation, discussion on the condition, those are the things that we’re finalizing,” Tamano said.
Tamano assured the company will be able to complete its five-year rollout commitment with the government to avert forfeiting its performance bond.
DITO officials refused to comment on the impact of DITO Communications Media and Entertainment’s deferred P8-billion stock rights offering.
As of the start of the month, DITO said it has hit 50 percent of its 2022 goal of 12 million total.
