Bharti Telecom sells 2.75 pc stake in Airtel for Rs 8,433 cr
- Promoter firm Bharti Telecom has sold 2.75 per cent stake in Airtel to institutional investors in the secondary market, raising over Rs 8,433 crore.
- The sale proceeds will be fully utilised to repay debt at Bharti Telecom and will make the promoter holding firm a ‘debt free company’.
- Bharti Group and Singtel will continue to hold a majority stake in Bharti Airtel at 56.23 per cent after the transaction, the company added.
- Credit Suisse note said the secondary equity sale by promoter company Bharti Telecom in Airtel is more of a deleveraging exercise and the sector fundamental remains attractive. It added that it expects Bharti Airtel to benefit from ongoing market repair in the sector.
- “Post the sale, promoter groups shareholding (through all entities) will decline from 59 per cent to 56.2 per cent.
- Effective stakes of Singtel in Bharti Airtel will decline from 33.3 per cent to 31.9 per cent and for Mittal family from 25.7 per cent to 24.3 per cent,” the note had said.
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