Bharti Airtel Promoters to Sell Shares Worth Over Rs 9,000 Crore via Block Deal

Bharti Airtel's promoters are set to sell shares worth up to Rs 9,310 crore ($1.06 billion) through a secondary share sale via block deal, according to a report. The deal, which involves up to 50 million equity shares, represents a 3.15% discount to the company's last closing price. Jefferies India and JPMorgan India have been appointed as joint placement agents for the deal. The sale will be executed by Indian Continent Investment, a promoter group entity, and will likely attract strong institutional interest due to the company's strong fundamentals and consistent operational performance.

Indian Continent Investment Limited, a promoter group entity led by Sunil Mittal, has initiated a significant block deal to sell up to 50 million shares of Bharti Airtel, valued at approximately Rs 9,310 crore ($1.06 billion). The transaction, which involves a 0.8% stake in the company, is being conducted at a floor price of Rs 1,862 per share, representing a 3.15% discount to the company's last closing price [1].

The block deal, which is expected to attract strong institutional interest, will be executed by Indian Continent Investment. Jefferies India and JPMorgan India have been appointed as joint placement agents for the deal. The sale is part of a strategy to dilute the promoter stake and align with the company's strong fundamentals and consistent operational performance [2].

Bharti Airtel reported its first quarter results for FY26, showcasing a net profit of Rs 5,948 crore, a 46% decline from the previous quarter. However, the company's revenue stood at Rs 49,462 crore, surpassing market expectations and driven by robust performance in India and Africa. The EBITDA margin for the quarter was 56.3%, slightly down from the previous quarter but still strong. The company's India revenues increased by 29% year-on-year, with mobile revenues growing by 21.6% [3].

The sale of shares by Bharti Airtel's promoters is a strategic move that aims to raise capital and potentially reduce the company's debt burden. The strong financial performance of the company, coupled with the discount offered in the block deal, is expected to make it an attractive proposition for investors.

References:
[1] https://www.moneycontrol.com/news/business/markets/sunil-mittal-led-promoter-entity-eyes-part-stake-sale-in-bharti-airtel-launches-13417073.html
[2] https://www.marketscreener.com/news/sunil-mittal-led-promoter-entity-eyes-part-stake-sale-in-bharti-airtel-launches-1-billion-block-de-ce7c5edfdc81f723
[3] https://www.cnbctv18.com/market/stocks/promoter-launches-rs-9310-crore-bharti-airtel-share-price-block-deal-at-rs-1862-floor-price-19650547.htm