TCIL may offload 5-10% stake in Bharti Hexacom

Industry:    2 weeks ago

State-run Telecommunications Consultants India (TCIL) will shortly finalise the minimum pricing and terms of an offer-for-sale (OFS) to divest 5-10% of its residual stake in Bharti Hexacom.

The Union government owns 15% via TCIL in Bharti Hexacom, in which Sunil Mittal-led Bharti Airtel holds 70%.

“TCIL’s OFS will be targeted at both institutional (read: qualified institutional buyers) and public shareholders, and is likely to be concluded in FY25,” a senior government official told ET.

He added that discussions will start soon to finalise the timing, the stake sale quantum and the minimum price (floor price) in keeping with Sebi rules. Both the Department of Telecommunications (DoT) and the finance ministry will be involved in the exercise.

Airtel subsidiary Bharti Hexacom runs mobile services in Rajasthan and Northeast. At the telco’s current ₹69,500 crore market cap, TCIL’s 15% stake is valued at ₹10,425 crore. Bharti Hexacom shares closed 1% higher at ₹1,390 on the BSE on Monday. Airtel closed 0.96% higher at ₹1,643.10.

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