Bharti Airtel Ltd. said on Thursday that its promoter would take part in Rs. 32000 crore capital infusion plan by subscribing to its rights issue. GIC announced that they will take part in subscription, on behalf of Government of Singapore and Monetary Authority of Singapore.
The group in a statement said, “The promoter and promoter group also reserves the right to subscribe either itself or through investors for additional shares in the Issue, including in the event of under-subscription by the public, in accordance with the applicable laws.”
The capital of Rs. 32,000 crores have been approved by airtel board through a right issuance of up to Rs 25,000 crore of fully paid-up equity shares at a price of Rs 220 per share plus the rise of up to Rs 7,000 crore by the foreign currency everlasting bond issue.
In addition to it, Singapore based company SingTel in a separate statement said that it will subscribe to 170 million shares in Airtel’s rights issue for a total consideration of Rs. 37.5 billion.
Bharti group and Bharti Telecom, the SingTel and Airtel’s major shareholders also intend to subscribe to their full entitlement, excluding for renunciation by Bharti Telecom in favour of GIC Singapore, also said by SingTel.
Read EquityPandit’s Technical Analysis of Nifty