Press Esc to close
Tuesday 27 September 2016
News updated at 3:49 PM IST
Weather
Max: 28.6°C
Min : 20.5°C
In Bengaluru
Sunny day

Airtel to sell Rs 6,800-cr stake

New Delhi, May 3, 2013, (PTI) :
Reuters Image

Country’s largest mobile operator Bharti Airtel on Friday said it will sell 5 per cent stake to Doha-based Qatar Foundation Endowment for around Rs 6,800 crore to strengthen its capital structure and fund future growth plans.

Bharti Airtel will issue 199.87 million new shares to QFE at a price of Rs 340 apiece, 7.3 per cent higher than yesterday’s closing price.

“...it has entered into a binding agreement with Qatar Foundation Endowment (QFE), under which Bharti will issue 199,870,006 of its new shares to QFE, representing a shareholding of 5 per cent in the company, post issuance of the new shares,” Bharti Airtel said in a statement.

As a result of the deal, the promoter shareholding in the company may come down marginally.

According to BSE data, promoters together held nearly 68.55 per cent stake in Bharti Airtel, including 45.75 per cent by Bharti Telecom, as on March 2013.

Bharti Airtel is jointly promoted by Singapore-based Singtel and group companies of billionaire Sunil Mittal’s family. As per the agreement, QFE will subscribe to 199,870,006 new shares of Bharti at a price of Rs 340 per share, amounting to a total consideration of $1.26 billion (Rs 6,796 crore), it added. “I am delighted to welcome another high quality long-term institutional investor to our shareholder base...this agreement exemplifies further strengthening of the already deep economic and cultural relations between Qatar and India,” Bharti Chairman Sunil Bharti Mittal said in the statement.

Goldman Sachs acted as the sole financial advisor to QFE on this investment.
“As a long-term global investor, our shareholding gives us exposure to a high growth sector in key emerging markets. QFE looks forward to supporting Bharti in realising the full potential of this world class business,” QFE Acting Chief Executive Officer Rashid Al-Naimi said.

QFE is a long-term global investor with a broad mandate to make direct and managed investments, the statement said.


Go to Top

Photo Gallery
A girl and her father kick a pinata representing Donald Trump...

A girl and her father kick a pinata representing Donald Trump...

Children pay tribute to Indian soldiers killed in Uri strike, during an event...

Children pay tribute to Indian soldiers killed in Uri strike, during an event...

Tourists celebrating World Tourism Day in Pushkar on Monday...

Tourists celebrating World Tourism Day in Pushkar on Monday...

Sushma Swaraj, Minister of External Affairs for India, speaks during the 71st session...

Sushma Swaraj, Minister of External Affairs for India, speaks during the 71st session...

College students paying tribute to Uri attack martyrs in Mumbai...

College students paying tribute to Uri attack martyrs in Mumbai...

Indian team players celebrate their victory over New Zealand on the final day...

Indian team players celebrate their victory over New Zealand on the final day...

Sudarsan Pattnaik creates a sand sculpture with message 'Keep It Clean: Happy World Tourism Day'....

Sudarsan Pattnaik creates a sand sculpture with message 'Keep It Clean: Happy World Tourism Day'....

Bollywood actor Juhi Chawla during the inauguration of a cancer initiative...

Bollywood actor Juhi Chawla during the inauguration of a cancer initiative...

Indian Space Research Organisation (ISRO)'s PSLV C35 carrying SCATSAT-1...

Indian Space Research Organisation (ISRO)'s PSLV C35 carrying SCATSAT-1...

'Thousands Hands' Goddess Durga being prepared at a community puja pandal ahead of the Durga Puja...

'Thousands Hands' Goddess Durga being prepared at a community puja pandal ahead of the Durga Puja...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523