Singtel, through its unit Singtel International Investments Pvt. Ltd., completed a deal to purchase 85,450,000 new equity shares in Bharti Telecom Ltd.
The Singaporean telco paid 26.5 billion Indian rupees in an all-cash transaction, according to a March 12 news release. The price per subscription share was 310 rupees.
As a result of the transaction, Singtel's stake in Bharti Telecom is now at 48.90% from 47.17%.
Since Bharti Telecom owns approximately 50.10% of the share capital of Bharti Airtel Ltd., Singtel's effective interest in Bharti Airtel will move up to 39.51% from 38.64%.
Singtel also announced that SIIPL increased its share capital to S$1.7 billion from S$1.1 billion through the allotment and issue of 539.4 million ordinary shares at S$1 per share to Singapore Telecom International Pte Ltd., SIIPL's holding company, which is a wholly owned subsidiary of Singtel.
Meanwhile, Bharti Airtel, in a regulatory filing, said that its board approved the transfer of 19% equity shares of its unit Bharti Telemedia Ltd. to its wholly owned subsidiary Nettle Infrastructure Investments Ltd.
A portion of the stake will be used for the completion of the stake sale of Bharti Telemedia to Warburg Pincus LLC for approximately US$350 million.
Bharti Telecom is a unit of Bharti Enterprises Ltd.
As of March 13, US$1 was equivalent to 64.76 Indian rupees.