The shares of one of the world’s leading providers of telecommunication services gained attention on Wednesday after the promoter bought an additional stake in the company for a consideration of Rs 2,036 crores.
Price Action
With a market capitalization of Rs 9,41,928.94 crore, Bharti Airtel Ltd fell over 1 percent in Wednesday’s trading session and made an intraday low of Rs 1,647.75 per share compared to its previous closing price of Rs 1,668.40 per share.
The shares reiterated from the day’s low and were trading at Rs 1,652.75 which is 0.9 percent lowerthan the previous closing price.
What Happened
Indian Continent Investment Limited (ICIL), part of the Bharti Airtel promoter group, has sold 0.84 percent of its stake (~5 crore shares) through a market transaction, for approximately Rs 8,485.11 crore.
Following this, Bharti Telecom, the promoter of Airtel acquired ~1.20 crore shares, which accounts for 24 percent of Indian Continent Limited’s total sale, while the remaining shares were allocated to reputable long-term global and domestic investors like Goldman Sachs, JP Morgan, National Pension System (NPS) Trust, and Vanguard among others.
This comes after Bharti Telecom’s previous purchase of a 1.2 percent stake (~ 7.3 crore shares) from Indian Continent Investment in November 2024. Consequently, Bharti Telecom’s stake in Airtel has now risen to 40 percent, further solidifying its role as the main holding entity for Airtel and reflecting a strategic approach to increasing its ownership.
Company Overview
Bharti Airtel Limited is one of the world’s largest telecom operators, providing mobile, broadband, and digital TV services across 18 countries in Asia and Africa. It offers a wide range of services, including high-speed internet, voice services, and enterprise solutions.
The company’s operating segments are Mobile Services, Home Services, Digital TV Services, Airtel Business, and South Asia.
Its Mobile Services in India provide voice and data via 2G, 3G, and 4G. Home Services offer broadband and fixed-line connections across 1,225 cities in India. Digital TV delivers standard and HD services with 3D and Dolby sound, offering 706 channels, including 86 HD and 4 international channels. Airtel Business provides ICT solutions for enterprises, governments, and carriers. The South Asia segment covers operations in Sri Lanka and Bangladesh.
Written by Shwetha Sairam
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