5
Authors: Jordan NEW DELHI: Bharti Airtel jumped over 3 per cent today on a report that the firm may raise as much as $1.5 billion through stake dilution when it lists the holding company for Africa operations in early 2019.
The money will help bolster the telco’s efforts to stay competitive in the Indian market where Bharti just announced its first quarterly loss in contrast to profit in Africa.
Work on listing has picked up pace and is slated for early next year on the London Stock Exchange, leveraging financial improvements in the past few quarters, ET reported.
Following the report, the stock went up 3.42 per cent to hit a high of Rs 418.25 on the BSE.
Investors chose to ignore a downward revision in Bharti's outlook to 'negative' from stable by global ratings agency Standard Poor's due to the company's weak FY18 performance and concerns on elevated capex in 2018-19.
"Now, Africa is probably being seen as an asset for (Airtel) that will help it overcome the storms in India," said industry expert Sanjay Kapoor.
