Airtel promoter to become debt free

Bharti Telecom, the promoter of Bharti Airtel, is set to raise $1 billion through a block deal on Tuesday to become debt free.

Informed sources said that the firm is looking to sell 2.75 per cent in the telco at a floor price of Rs 558 per share. The price represents a discount of around 6 per cent to the closing price of the Bharti Airtel scrip on Friday. The share had settled at Rs 593.

Bharti Telecom is reported to have brought in JP Morgan for the sale, which could see close to 15 crore shares being sold. It will make the promoter debt free.

For the March quarter of 2020, Bharti Telecom held a 38.79 per cent stake in Airtel. The total promoter holding, including a 13.91 per cent stake held by Pastel (a Singtel unit), stands at 58.98 per cent.