Despite this deal, Singtel will still retain a 28.3% stake in Airtel, valued at approximately $48 billion, or roughly ₹2.96 lakh crore.
Bharti Airtel's shares witnessed significant activity on Friday, with approximately 31 million shares traded. This represents roughly 1.3% of the company's shares being bought and sold in a single day. These shares traded at an average price of ₹1,820 per share, approximately 2.5% lower than Thursday's closing price.
Singapore's Singtel Reduces Airtel Stake
Singapore's leading telecom company, Singtel, through its investment arm Pastel, has reduced its stake in Airtel. Until the March quarter, Pastel held a 9.49% stake in Airtel, of which approximately 1.2% has been sold.
The total sale value is estimated at approximately $2 billion, or about ₹16,600 crore. This transaction was conducted through a private placement to Indian and international institutional investors, a process involving the sale of shares among a limited number of investors. However, even after this deal, Singtel will maintain a significant stake in Airtel.
Statement by Singtel's CFO Arthur Lang
Commenting on the deal, Singtel's Group Chief Financial Officer (CFO), Arthur Lang, stated that the sale yielded a good valuation for the company while maintaining a b stake in Airtel. He also welcomed the new investors who understand Airtel's crucial role in India's $1 trillion digital economy. Lang further stated that this sale is part of Singtel's growth plan, focusing on disciplined capital allocation and delivering long-term returns to shareholders.
Singtel Remains a Major Investor in Airtel
Despite this transaction, Singtel retains its 28.3% stake in Airtel, valued at approximately $48 billion (roughly ₹2.96 lakh crore). This deal generated approximately $1.4 billion in profit for Singtel, reflecting the company's investment strategy and financial strength.
Airtel's Strong Performance
On May 13, Airtel released its March quarter (Q4FY25) results, surprising many. The company reported a consolidated net profit of ₹11,022 crore, a remarkable 432% increase compared to ₹2,072 crore in the same quarter last year. Total revenue reached ₹47,876 crore, showing a 27% growth. Average revenue per user (ARPU) also increased to ₹245, up from ₹209 last year. Furthermore, Airtel declared a final dividend of ₹16 per share for FY25, positive news for investors.
