Singtel closes deal with Bharti Airtel

A stock broker looks at a television screen in Mumbai as Finance Minister Arun Jaitley presents India's first unified

A stock broker looks at a television screen in Mumbai as Finance Minister Arun Jaitley presents India's first unified

It went to say that it would also issue $1 billion foreign currency bonds on one or more tranches.

"Any funds raised from issuance of aforesaid debt securities shall be used for routine treasury activities, including refinancing of existing debt and spectrum liabilities", the filing said.

Bharti Airtel recently announced that Singapore Telecommunications Ltd (Singtel) will indirectly raise its stake in Bharti Airtel by investing Rs 2,649 crore in Bharti Telecom Ltd, the promoter company, through a preferential allotment of shares.

According to a Mumbai-based analyst, the borrowing does not fundamentally change anything for Bharti Airtel, and the company is merely refinancing debt.

Airtel previous year also said it may sell a controlling stake in tower arm Bharti Infratel.

Leading telecom service provider Bharati Airtel is planning to raise up to ₹10,000 crore through private placement of non-convertible debentures (NCDs). The company has also announced several measures to reduce debt to be in a stronger position to combat competition from Reliance Jio.

As per transaction details then disclosed, Bharti Airtel would sell 15% of its DTH arm to Lion Meadow Investment for Rs 1,623.76 crore, while the balance would be sold by a Bharti promoter entity which owns 5% in company.

"Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform you that the Board in its meeting held on March 12, 2018, has approved the transfer of 19 per cent equity shares of Bharti Telemedia Limited ('Telemedia'), a subsidiary Company to Nettle Infrastructure Investments Limited, a wholly owned subsidiary company", the release to the BSE stated.

Meanwhile, rival Idea Cellular Ltd too has raised funds to build a war chest for the battle in the telecom sector.

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