Cirtek commercial papers to fund entry into 5G

MANILA, Philippines — Chips assembler Cirtek Holdings Philippines Corp. has listed the initial tranche of its P6-billion commercial papers issue to replenish its working capital in preparation for its entry into the 5G space.

Cirtek issued P1 billion worth of commercial papers at the Philippine Dealing and Exchange Corp. (PDEX) as part of its P6-billion program.

The offering was more than four times oversubscribed and assigned a high credit rating of PRS A with a stable outlook by the Philippine Ratings Services Corp.

Cirtek plans to spend the proceeds from the issuance to retire its short term obligations maturing this year.

Part of the proceeds will be directed to refinance the working capital of its subsidiaries namely, Quintel USA, Cirtek Electronics Corp. (CEC) and Cirtek Advanced Technologies and Solutions Inc. (CATSI), as Cirtek participates in mainstreaming 5G in the Philippines.

Quintel USA designs, develops and delivers antenna products and solutions made to boost efficiency, improve quality of service, bring down costs and increase returns. This year, Quintel USA is slated to make a new line of C-band antenna family with 5G capability.

CEC provides integrated assembly, packaging and test and turnkey solutions for semiconductor devices.

CATSI, for its part, produces wave technology products catering to military, telecommunications, satellite communications, enterprise networks, automotive radar, semiconductor test boards and industrial segments.