Infratel IPO to fund expansion and acquisitions

10 Dec 2012

Bharti Infratel, the infrastructure arm of Bharti Airtel is planning to use funds raised by its upcoming initial public offer (IPO) to back expansion work and finance potential acquisitions, the Economic Times reports citing the company’s chairman, Rakesh Bharti Mittal. The IPO, which is set to launch tomorrow, is open to retail investors and consists of 188.9 million equity shares in a price band of INR210 to INR240 (USD3.86 to USD4.41) per share. The sale is expected to raise around INR43.55 billion for the company, which will back investment over the next two years on installation of new towers (INR10.86 billion), upgrading or replacing existing sites (INR12.14 billion) and ‘green’ initiatives (INR6.39 billion). Mittal also added that the company would ‘be looking into any acquisition opportunities which come our way.’

India, Bharti Airtel