Shares of Bharti Airtel rose by over 4 percent today after Singapore-based telecom operator Singtel said it will invest Rs 2,649 crore in Bharti Telecom, raising its stake by 1.7 percent. The scrip gained 4.20 percent to end at Rs 439.50 on BSE. During the day, it surged 5.68 percent to Rs 445.80. Also Read - Airtel 5G Mumbai trials show download speeds of 1.2Gbps, upload at 850Mbps
On NSE, shares of the company closed with a gain of 4.22 percent at Rs 440.20. The stock was the biggest gainer on both the key indices — Sensex and Nifty — during the day. The company’s market valuation rose by Rs 7,075.73 crore to Rs 1,75,685.73 crore. Also Read - Vi prepaid recharge plans July 2021: List of all Vi recharge plans under Rs 500 with benefits, validity
In terms of equity volume, 5.20 lakh shares of the company were traded on BSE and over one crore shares changed hands on NSE during the day. Also Read - FIR filed against Twitter India again, now over child pornography content
Singtel will invest Rs 2,649 crore in Bharti Telecom, raising its stake in the holding company of Bharti Airtel by 1.7 percent to 48.9 percent. The preferential allotment of shares which is expected to be closed by March 2018 would allow SingTel to raise its ‘economic interest’ in India’s largest telecom operator Bharti Airtel by 0.9 percent to 39.5 percent. Bharti Airtel said that the funds will be used towards debt reduction. As on December 31, 2017, the company’s consolidated net debt stood at Rs 91,714 crore higher than Rs 91,480 crore in the previous quarter.
“Singtel International Investments will be allotted up to 85,450,000 new equity shares in Bharti Telecom at an issue price of Rs 310 per equity share. This will increase Singtel’s stake in Bharti Telecom by up to 1.7 percent for an aggregate consideration of approximately Rs 26.5 billion,” Singtel said in a separate statement.
Bharti Telecom held 50.1 percent stake in Bharti Airtel at the end of 2017.
This is published unedited from the PTI feed.