Bharti Airtel has divested 83 million shares of its subsidiary Bharti Infratel Limited for Rs 3,325 crore ($ 510 million) through secondary share sales in the stock market, a company statement said here on Tuesday.
Bharti Airtel has made the sale through its wholly-owned subsidiary Nettle Infrastructure Investments Limited.
“Bharti Airtel will primarily use the proceeds from this sale to reduce its debt. Following the closure of this transaction, Bharti Airtel and its wholly owned subsidiaries together have an equity holding of 53.51 per cent in Bharti Infratel,” the statement said.
“The sale was for a total consideration of over Rs 3,325 crore ($ 510 million) and was executed at a price of Rs 400.6 per share, representing a discount of c 3.6 per cent to the previous day’s closing price. The allocation was done to global investors, fund managers and long only funds, including many repeat investors. Led by healthy investor appetite, the deal was upsized by over 25 per cent,” the statement said.
J.P. Morgan, UBS and Goldman Sachs were joint placement agents for the transaction.