 "Bharti Airtel hits highest level since October 2007 on 100% FDI nod")
Shares of Bharti Airtel were up 2 per cent to Rs 524 on the BSE on Wednesday after the Department of Telecom (DoT) approved raising foreign direct investment (FDI) in the company to 100 per cent from 49 per cent allowed earlier.
The telecom services provider's stock was trading at its highest level since October 15, 2007. It touched its all-time high of Rs 527 on October 10, 2007.
In the past week, the stock has rallied 20 per cent amid expectations that the telecom company is poised for strong market share gain. In comparison, the S&P BSE Sensex was down 1 per cent during the same period.
"Bharti Airtel has received the approval from the Department of Telecommunications (DoT) vide its letter dated January 20, 2020, for increasing the limit of foreign investment up to 100 per cent of the paid-up capital of the company," the filing said.
It may also be noted that subject to applicable laws, the aforesaid approval read together with the Reserve Bank of India (RBI) approval dated July 03, 2014 granted to the Company allows the FPls/Flls to invest up to 74 per cent of the paid up capital of the Company, it said.
Last week, Bharti Airtel successfully raised $3 billion -- $ 2 billion via qualified institutional placement (QIP) and $1 billion through foreign currency convertible bonds (FCCBs).
The company said the net proceeds of the fund will primarily be used to augment the company's long-term resources and strengthen the balance sheet, servicing and for repayment of short term and long term debts capital expenditures, statutory dues and long term working capital requirements.
At 09:27 am, the stock had erased some its early morning gains and was trading 0.55 per cent higher at Rs 514 against 0.41 per cent rise in the Sensex. A combined 4.91 million equity shares have changed hands on the counter on the NSE and BSE so far.
The telecom services provider's stock was trading at its highest level since October 15, 2007. It touched its all-time high of Rs 527 on October 10, 2007.
In the past week, the stock has rallied 20 per cent amid expectations that the telecom company is poised for strong market share gain. In comparison, the S&P BSE Sensex was down 1 per cent during the same period.
"Bharti Airtel has received the approval from the Department of Telecommunications (DoT) vide its letter dated January 20, 2020, for increasing the limit of foreign investment up to 100 per cent of the paid-up capital of the company," the filing said.
It may also be noted that subject to applicable laws, the aforesaid approval read together with the Reserve Bank of India (RBI) approval dated July 03, 2014 granted to the Company allows the FPls/Flls to invest up to 74 per cent of the paid up capital of the Company, it said.
Last week, Bharti Airtel successfully raised $3 billion -- $ 2 billion via qualified institutional placement (QIP) and $1 billion through foreign currency convertible bonds (FCCBs).
The company said the net proceeds of the fund will primarily be used to augment the company's long-term resources and strengthen the balance sheet, servicing and for repayment of short term and long term debts capital expenditures, statutory dues and long term working capital requirements.
At 09:27 am, the stock had erased some its early morning gains and was trading 0.55 per cent higher at Rs 514 against 0.41 per cent rise in the Sensex. A combined 4.91 million equity shares have changed hands on the counter on the NSE and BSE so far.
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%