PLDT gets $69 million green loan for fiber network expansion
You want to create a more energy efficient network Philippine Long Distance Telephone Company (PLDT) has secured a green loan from Metropolitan Bank & Trust Co. (Metrobank) worth 4 billion pesos ($69 million). The company confirmed the loan agreement in a disclosure to the Philippine Stock Exchange earlier this week. This is the company’s first […]
You want to create a more energy efficient network
Philippine Long Distance Telephone Company (PLDT) has secured a green loan from Metropolitan Bank & Trust Co. (Metrobank) worth 4 billion pesos ($69 million).
The company confirmed the loan agreement in a disclosure to the Philippine Stock Exchange earlier this week. This is the company’s first green loan secured by a local financial institution and second green loan overall, after securing 1 billion pesos ($17.4 million) from HSBC Philippines in March 2024.
The loan proceeds will be used to expand PLDT’s fiber footprint, as it seeks to “narrow the country’s digital divide, but also ensure a fast and reliable internet experience facilitated by an energy-efficient network.”
“PLDT’s active participation in the growing domestic sustainable finance market is a demonstration of our adherence to global best practices in the pursuit of sustainable profitability,” said Danny Yu, Chief Financial Officer and Director of Risk Management, PLDT. \”We are encouraged by the financial community’s support for Bangko Sentral ng Pilipinas’ advocacy for sustainable financing as we continue to explore various ways to green our operations. Our partnership with Metrobank reinforces our commitment to expanding our portfolio of sustainable financing.”
PLDT noted that fiber optic technology is key to developing its energy-efficient network, saying it consumes “significantly less energy than traditional copper-based infrastructure.”
He praised the technology as critical because it appears to reduce operational costs, while aligning with PLDT Group’s decarbonization roadmap by minimizing energy consumption. The roadmap aims to reduce Scope 1 and Scope 2 greenhouse gas emissions by 40% by 2030, starting from a 2019 baseline level.
“Securing another green loan for PLDT demonstrates our commitment to integrating sustainability into every aspect of our operations and highlights our holistic approach to environmental management and responsible business practices,” added Melissa Vergel de Dios, Chief Sustainability Officer at PLDT. \”Together with the support of the financial community, we can drive more meaningful change and collectively build a sustainable future for future generations.\”
PLDT, which is the largest telecommunications company in the Philippines with more than 60 million mobile subscribers, reported having more than 1.1 million kilometers of fiber infrastructure cables as of the end of March.
The telco confirmed yesterday that it was in talks to sell a stake in its data center business, following reports this week that it was looking to sell a 49% stake. The company is targeting a valuation of more than $1 billion for its data center portfolio, but aims to retain at least 51% of the unit. PLDT is in talks with multiple parties, including its Japanese shareholder NTT, which owns about 25% of the Philippine telecom company.
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