Bharti Airtel board today approved the company's plans to raise up to Rs 16,500 crore through privately placed non-convertible debentures (NCDs) and a foreign currency bonds float. Earlier this year, the third largest player Idea Cellular, which is set for a merger with Vodafone, had raised Rs 6,750 crore.
"National Company Law Tribunal (NCLT) has sanctioned the scheme of amalgamation between Telenor (India) Communications and Bharti Airtel and their respective shareholders and creditors under Sections 230 to 232 of the Companies Act, 2013, company said in release". Such tranches/ series and at such rates may be approved from time to time on cumulative basis along with all NCDs issued by the company. "The latest net asset value of each Subscription Share, based on BTL's Indian GAAP standalone management accounts as of 31 December 2017 was approximately INR23.8 and accordingly, the aggregate net asset value of the Subscription Shares is approximately $40.7m (INR2b)".
Earlier, Bharti Airtel raised funds from its tower subsidiary Bharti Infratel. Shares of Airtel were trading at ₹419.40 per scrip on the BSE at 3.12pm, up 4.34 per cent from the previous close.More news: Iraqi PM announces Baghdad lifting ban on worldwide flights to KRG
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.
The government recently announced a relaxation in the time period for payment of spectrum dues and enhanced spectrum caps for telecom service providers, which will fasten merger and acquisitions in the sector.