Press Esc to close
Thursday 02 July 2015
News updated at 9:05 AM IST
Weather
Max: 33°C
Min : 19°C
In Bengaluru
Partially cloudy

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
Shuttler Jwala Gutta at a press conference at LB Indoor Stadium in Hyderabad...

Shuttler Jwala Gutta at a press conference at LB Indoor Stadium in Hyderabad...

Bollywood actress Sunny Leone after a press conference in Mumbai...

Bollywood actress Sunny Leone after a press conference in Mumbai...

Sadhus stand in a queue to register themselves for the annual pilgrimage to the Amarnath cave...

Sadhus stand in a queue to register themselves for the annual pilgrimage to the Amarnath cave...

A paramilitary soldier keeps a watch on the Jammu- Srinagar highway...

A paramilitary soldier keeps a watch on the Jammu- Srinagar highway...

Children reading the Quran in the holy month of Ramadan in Agartala...

Children reading the Quran in the holy month of Ramadan in Agartala...

A house collapses at Mirik after landslides triggered heavy rains in Darjeeling...

A house collapses at Mirik after landslides triggered heavy rains in Darjeeling...

Army aspirants travel on the roof of a train in Jodhpur after participating recruitment rally...

Army aspirants travel on the roof of a train in Jodhpur after participating recruitment rally...

Women take selfies with their girl children as part of the 'Beti Bachao Beti Padhao' campaign...

Women take selfies with their girl children as part of the 'Beti Bachao Beti Padhao' campaign...

Farmers participate in a bull race at a paddy field in Canning village in South 24 Pargana...

Farmers participate in a bull race at a paddy field in Canning village in South 24 Pargana...

Pranab Mukherjee offers prayers to the sacred Dwajasthambham (flag-mast) of Lord Shiva...

Pranab Mukherjee offers prayers to the sacred Dwajasthambham (flag-mast) of Lord Shiva...

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