PLDT to list data centers, sell idle assets

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February 27, 2026 | 12:00am

To raise cash

MANILA, Philippines —  Telco giant PLDT Inc. is eyeing to raise more cash this year through a possible listing of its data center arm, backed by the disposal of idle properties, to chop down its debts.

PLDT chief financial officer Danny Yu yesterday said the telco is firming up a plan to monetize its data centers by listing them at the Philippine Stock Exchange as a real estate investment trust (REIT).

He said PLDT is no longer keen on searching for a minority investor for its data center portfolio, as parties had been insistent on acquiring a majority stake in the assets.

PLDT’s data centers are consolidated under VITRO Inc. and combine for a capacity of 100 megawatts in 11 facilities. VITRO president and CEO Victor Genuino said the company is now reviewing the new rules on REIT structures ahead of a possible listing.

Apart from this, Yu said PLDT is selling idle assets, with properties in Baguio and Cebu already disposed of and another one in Quezon City being priced. However, the telco is taking its time in looking for buyers due to the volatile nature of the property market.

PLDT is planning to raise cash to pay some loans and reduce obligations to lenders, as the telco’s net debt climbed to P284.7 billion in 2025.

At this rate, PLDT’s net debt is 2.56 times of its earnings before interest, taxes, depreciation and amortization, and it is working on bringing down the level to two times.

Yu said PLDT is negotiating with some of its lenders to seek a lower spread and shorter repricing after net financing costs went up by 20 percent to P17.5 billion last year.

PLDT’s net income dipped by three percent to P30.01 billion last year, largely because of financing costs the telco had to shoulder. Yu said PLDT also expects financing expenses to increase this year, but not on the same level as it did in 2025.

Further, PLDT’s core income, measured as profit from flagship services, slid by three percent to P33.9 billion. The bright spot for PLDT is that it drew a net gain of P700 million from its digital bank Maya, flipping from a net loss of P1 billion in 2025.

For 2026, PLDT is reducing capital expenditures to the mid-P50 billion level in line with efforts to sustain positive cash flow.

As a whole, telcos are finding it more difficult to grow profit, with Globe Telecom Inc. reporting a four-percent drop, due to the economy’s slower expansion and the saturation of the mobile market.