Bharti to raise up to $1b more via overseas bonds

New Delhi: Bharti Airtel plans to raise about $750 million (about Rs 5,300 crore) through the sale of overseas bonds to refinance debt and free up cash to invest in expanding its 4G network, said three people familiar with the matter. The sum may go up to $1billion (Rs 7,000 crore) depending on investor response.

The so-called perpetual bonds are a quasi-equity obligation without a fixed maturity, said one of the persons. The securities, which will be sold to investors across the world, are known as 144A bonds that allow the participation of those in the US as well. “The bonds will carry five-year non-call — that means the debt cannot be repaid before five years,” said the person.