Singtel International Investments, a wholly- owned subsidiary of Singtel, is set to subscribe new shares in Bharti Telecom, a holding company of Bharti Airtel (Airtel) that holds approximately 50.1% of the share capital of Airtel, under a proposed preferential allotment. With the expected completion by March 2018, the preferential allotment of equity shares to Singtel International Investments is subject to approval by Bharti Telecom’s shareholders
Up to 85,450,000 new equity shares in Bharti Telecom at an issue price of INR310 ($4.796) per equity share will be allotted by Singtel International Investments which will also increase Singtel’s stake in Bharti Telecom by 1.7% for an aggregate consideration of approximately INR26.5 billion or S$555.6 million. Singtel’s economic interest in Airtel will increase by 0.9 percentage point to 39.5% through this new allotment.
Since Singtel acquired a stake in 2000, Airtel is India’s largest telecommunications company with a customer base of over 390 million and operations in 16 countries in South Asia and Africa.
According to Mr. Arthur Lang, Singtel CEO International, said the following:
“This is a good opportunity for us to deepen our strategic partnership with Airtel. While there are currently headwinds in India, we take a long-term view of our investment in Airtel which continues to be a strong market leader in a region with rapidly increasing smartphone penetration and mobile data adoption.”
Headquartered in Singapore, Singtel has an extensive experience of over 130 years and it provides integrated infocomm technology solutions to enterprise customers primarily in Singapore, Australia, the United States of America, India and Europe. Singtel employs around 25689 employees worldwide and it operates through Group Consumer, Group Enterprise, and Group Digital Life segments.
About Bharti Telecom
Founded in 1984, Bharti Telecom is a New Delhi; India based company that manufactures push button telephones, cordless telephones, and fax machines and is a subsidiary of Bharti Enterprises Limited, a company that operates in operates in telecom, agri business, financial services, and retail and manufacturing businesses