NOW Corp appoints PNB Capital as it looks to raise more capital

14 Apr 2021

NOW Corp is seeking to raise additional funding this year and to that end has appointed PNB Capital & Investment as issue manager, financial advisor and bookrunner for the placing and subscription transaction of shares. With the company yet to set the terms and conditions of the offer, which are still to be finalised by its board, it confirmed: ‘NOW intends to execute the transaction within the year to raise capital to strengthen and broaden its capital base, as well as to promote a wide dispersion of the common shares of the company to a broad spectrum of public institutional investors’. Additionally, the group will use the proceeds of the planned cash injection to help finance its planned expansion works.

TeleGeography notes that in June 2020 NOW Corp affiliate NOW Telecom revealed plans to spend USD713 million over five years to develop a 5G fixed wireless access (FWA) network in the National Capital Region (NCR). Under the plan the telco aims to provide customers with broadband speeds of up to 10Gbps, a ten-fold increase on the peak speed it is currently able to offer. The telco envisages spending USD152 million in the first three years, mainly to purchase new 5G radio equipment, with a view to building on its current customer base which comprises business users, and people living in high-end homes/apartments in high-density residential areas. ‘NOW is well positioned to take advantage of the opportunity in the enterprise and high-end residential market in the Philippines via 5G FWA. With fairly limited competition in this space, there is a strong opportunity for NOW to gain a profitable market share, at first in NCR,’ its newly appointed president and COO Rene Rosales said at the time, adding: ‘Our affiliate NOW Corp has a deep understanding of the role of ICT in enterprises and we are in a position to become the end-to-end service provider for both ICT and broadband services.’

Philippines, NOW Telecom (NOW Network)