Bharti Airtel ups stake in Infratel by nearly 5%

The country’s second largest telco, Bharti Airtel, on Thursday bought an additional 4.9 per cent stake in its tower arm Bharti Infratel via open market block deals, paying anywhere between Rs 3,150-3,300 crore, sources said.

In post noon trade, Bharti Infratel stock price was up 2.2 per cent to touch Rs 220.60 on the BSE Thursday. Bharti Infratel has recently merged with Indus Towers, making it among the largest telecom tower companies in the world.

Prior to the acquisition, Bharti Airtel held 36.7 per cent stake in the tower arm. The purchase is just about the amount permissible under the creeping acquisition norms which cap promoter purchases at 5 per cent of equity in a year.

According to sources, Bharti has bought close to 15 crore shares at a price ranging between Rs 216 and Rs 224 from various FIIs, current shareholders Providence and Edge Point. KKR and Vodafone Idea were not among the sellers.

Bharti Airtel or Bharti Infratel didn’t comment on the purchase.