Bharti Airtel Acquires More 1% Stake in Indus Towers

Bharti Airtel Acquires More 1% Stack in Indus Towers

Bharti Airtel, India’s second-largest telecom operator, has increased its stake in Indus Towers by acquiring an additional 1%. This acquisition occurred as Vodafone UK offloaded an 18% stake in the telecom infrastructure company. Prior to this, Airtel held a 47.95% stake in Indus Towers, which has now risen to 48.95%, making it the largest stakeholder. 

In a statement, Airtel announced, “The ‘Special Committee of Directors for evaluation of stake in Subsidiaries and Joint Ventures’ has today, i.e., June 19, 2024, approved the acquisition of up to 27 million equity shares in Indus Towers Limited (‘Indus Towers’).” 

Airtel acquired precisely 26.95 million shares of Indus Towers from the market, a transaction that does not require regulatory approval. This move raises speculation about whether Airtel might increase its stake to over 50% in the future. 

Vodafone UK’s stake in Indus Towers has dwindled to 3.1%, having once been a majority stakeholder. Airtel stands to benefit from Indus Towers’ performance, especially if Vodafone Idea (Vi) clears its outstanding dues. While Vi has been timely with regular payments, a significant backlog remains. 

Indus Towers’ willingness to support Vi’s rollout of new services, such as 5G, hinges on the clearance of these past payments. Bharti Airtel, as the largest stakeholder, is keen for Vi to settle its dues. Vi plans to launch 5G services in the winter of 2024, having secured substantial short-term funding and needing Indus Towers’ support for the rollout. 

Total Bharti Airtel Stake in Indus Towers? 

Airtel has acquired an additional 1% stake in Indus Towers from Vodafone PLC, raising its ownership to 48.95%. Vodafone Idea (Vi) contributes 35-40% of Indus Towers’ revenue, with Ambit Capital estimating Vi’s dues at approximately Rs 10,000 crore. This move further strengthens Airtel’s presence in Indus Towers. 

One thought on “Bharti Airtel Acquires More 1% Stake in Indus Towers”

  1. So Yadav Bihar mobile tower lagwana chahta hun thana jyada der Laga Lo post karara Panchayat mahila kharang khairan gram mein lagwana chahta

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