Bharti Airtel to raise $1.25 bn in African unit

Bharti Airtel has announced that six leading global investors comprising Warburg Pincus, Temasek, Singtel, SoftBank Group International and others have agreed to invest USD 1.25 billion through a primary equity issuance in the company at a post money equity value of ~ USD 4.4 billion. Airtel Africa has seen a turnaround of its business in recent years. This investment demonstrates the confidence of leading global investors in the company’s ongoing robust growth and profitability. The investment also reinforces the increased growth potential of the Africa telecommunications sector.
The proceeds will be used to reduce Airtel Africa’s existing debt of approx. USD 5 billion and for growth of its African operations. Airtel Africa subsequently intends an Initial Public Offering and use the proceeds primarily for further reduction of debt. Airtel Africa is experiencing a healthy revenue growth in voice and data services and also strong performance in the Airtel Money business. Its financial performance continues to improve, having turned positive in terms of net profit and operating free cash flow. In most of the markets in which it operates, Airtel Africa ranks amongst the top two operators. With 4G services live in 9 countries and in process of rollouts in most others, Airtel Africa is well placed to capture a significant market share of the rapidly growing data demand across countries.

Filed in: Airtel, Telecom News, Telecom Operators Tags: , ,

You might like:

Reliance Independent TV suspends operations Reliance Independent TV suspends operations
BSNL to cut 30% Contractual jobs BSNL to cut 30% Contractual jobs
BSNL launches Abhinandan 151 plan BSNL launches Abhinandan 151 plan
NCLT declares Reliance Communications bankrupt NCLT declares Reliance Communications bankrupt

Leave a Reply

Submit Comment
© 2020 Telecom News. All rights reserved. XHTML / CSS Valid.
Proudly designed by eShala.