Bharti Airtel Ltd has retired debt of Rs 6,796 crore out of a total debt of Rs 63,800 crore.
This money was raised by the company through preferential allotment of 5 per cent equity shares in Bharti Airtel at Rs 340 per share to Qatar Foundation Endowment.
“Bharti Airtel noted that this significant debt reduction will result in an improvement in the capital structure and balance sheet leverage for the company,” said a statement issued by Bharti.
In June, Bharti had issued 199,870,006 new equity shares, representing 5 per cent equity stake in the company, to Qatar Foundation Endowment for Rs 6,796 crore.
Telecom companies have been selling assets in a bid to bring down their debt burden. Reliance Communications on Sunday announced that it will hive off real estate into a separate company to unlock value.
The Bharti Airtel’s stock was down 0.71 per cent at Rs 293.45 on the BSE at close on Monday.
thomas.thomas@thehindu.co.in