DITO CME slashes external fundraise goal to P28.83B
DITO CME Holdings Corp. has significantly reduced its external fundraising goal by 28 percent. It decided to increase equity infusion from existing shareholders at the same time as it targets to recuperate from capital deficiency.
In a disclosure on Tuesday, the operator DITO Telecommunity (DITO Tel) said it would raise P28.83 billion via private placements in the next five years. The latest goal is well below the earlier target of P40.26 billion.
“It underscores the fact that there is not much investor (outside) interest in the company. Short of saying they could not raise their target of P40 billion,” Trading Edge Consultancy chief investment strategist Ron Acoba told the Inquirer.
In 2023, the company raked in a total of P5.5 billion from private investments. These came from third parties Xterra Ventures Pte. Ltd., Summit Telco Corporation. Pte. Ltd. and Summit Telco Holdings Corp.
The company also signed a subscription framework agreement with Summit Telco. This is for the acquisition of up to 9 billion primary common shares last year.
Between Jan. 1, 2024 and May 31, 2025, DITO CME received P14.5 billion in fresh funding from private investors.
Meanwhile, DITO CME also said that it would convert P26.53-billion worth of advances into equity within this year. This is higher than the P15.96 billion it earlier disclosed.
These are advances from existing shareholders: Udenna Corp., China Telecommunication Corp., Xterra Ventures and Summit Telco.
“These advances are, in reality, intended to be put as equity by the shareholders instead of advances,” DITO explained.
DITO Tel currently has 13.9 million subscribers. It targets profitability by the end of 2028.
