Shares of this large-cap company jumped around 1 percent in Thursday’s trading session after Singtel Sold Stake worth Rs 5,849 crores to GQG Partners. The shares have delivered more than 50 percent returns to its shareholders in one year.
With a market capitalization of Rs. 7,11,998 crores, the shares of Bharti Airtel Ltd started Thursday’s trading session on a higher note at Rs. 1,209.85 compared to its previous close of Rs. 1,193.70. During the trading session, the shares hit a high of Rs. 1,213.60, gaining around 1 percent, also recorded as the company’s fresh 52-week high and are currently trading at Rs. 1,203 apiece.
According to reports, on March 7, Singapore telecom operator Singtel said that it had sold a 0.8 percent equity stake in Bharti Airtel to the investment firm GQG Partners, for Rs 5,849 crore. Singtel, through its subsidiary Pastel Ltd., sold 4.9 crore shares at Rs 1,193.7. As of December 2023, Pastel held a 10.4 percent stake in India’s second-largest telecom company.
Furthermore, as per the reports, Singtel will use the capital to continue funding its data centre and IT services as well as to reduce its net debt.
Aside from Bharti Airtel, GQG’s top India investments include ITC, ICICI Bank, Adani Enterprises, State Bank of India, Adani Ports, Adani Green Energy and other notable investments as of December 2023.
Coming onto the company’s financial statements, the revenue increased marginally by 2.3 percent from Rs. 37,044 crores in the September quarter to Rs. 37,900 crores during the December quarter. In addition, the net profits zoomed by 37 percent from Rs. 2,093 crores to Rs. 2,876 crores during the same period.
The company aims to launch 5G services in 300 cities by March 2023, concentrating on areas with high 4G traffic. Additionally, Airtel intends to expand its mobile coverage to approximately 60,000 villages identified as high-potential zones where it is currently not present. Moreover, the company plans for capex moderation in the future, to focus on deleveraging and improving net debt to EBITDA ratios.
Headquartered in Gurugram, Bharti Airtel Ltd was incorporated in 1995. The company provides telecommunication services under wireless and fixed line technology, national and international long-distance connectivity, broadband, digital TV services, broadband, and complete integrated telecommunication solutions to customers.
Written By Vaibhav Patil
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