India's Bharti Airtel sells $508 million stake in tower arm Bharti Infratel

Adjust Comment Print

The trade, executed through Bharti Airtel's wholly-owned subsidiary Nettle Infrastructure Investments, comprised 83m secondary shares. The stock was offloaded at a price of Rp400.6 per share, representing a 3.6% discount to Bharti Infratel's Monday close of Rp415.5.

Leading telecom operator, Bharti Airtel on Tuesday announced that it sold over 83 million shares of its tower arm Bharti Infratel, which are worth Rs. 3,325 crores ($510 million).

Bharti Airtel will primarily use the proceeds from this sale to reduce its debt.

Net debt of Bharti Airtel rose to Rs 91,480.1 crore as on September 2017 - compared to Rs 87,840.4 crore in June 2017 quarter and Rs 81,480.3 crore a year ago same period.

Global investors, fund managers and long-only investors bought the shares, Bharti Airtel said, adding that the deal was upsized by more than 25 percent.

After the transaction, Bharti Airtel and its wholly owned subsidiaries have an equity holding of 53.51% in Bharti Infratel.

J.P. Morgan, UBS and Goldman Sachs were joint placement agents for the transaction.

Bharti Infratel shares were trading down 3.10 per cent or Rs 12.75 at Rs 398.35 on the BSE at about 12.30 pm.