Singtel's Bharti Airtel closes qualified institutions placement at $8.43 per share

The fundraising was made ahead of paying $6.62b dues to the Indian government.

Singtel’s India-based associate Bharti Airtel has closed its qualified institutions placement of equity shares at an issue price of $8.43 (INR445) per share, according to an SGX filing. About 323.6 million shares will be allotted to qualified institutional partners (QIPs).

Furthermore, it will be issuing $1.35b (US$1b) 1.5% foreign currency convertible bonds (FCCBs) due 2025, at a price of $10.16 (INR534) per conversion equity share.

According to Fitch Ratings, Bharti will use the proceeds to fund its capex or to refinance its debt. India’s Supreme Court ruled that Bharti Airtel, along with other incumbent telcos, will pay $6.62b (US$4.9b) in unpaid dues on licence fees and spectrum usage charges to the government before 24 January.

The government’s demand for unpaid dues referred to a 14-year dispute about the definition of adjusted gross revenue (AGR).