Indus towers logo.
Credit: industowers.com
New Delhi: British telecom player Vodafone on Wednesday said it has sold an 18 per cent stake in Indus Towers for 1.7 billion euro (about Rs 15,300 crore).
The company will use the major portion of the proceeds to pay 1.8 billion euro (Rs 16,138 crore) outstanding bank borrowings taken against Vodafone's assets in India.
"Vodafone Group Plc...sold 484.7 million shares in Indus Towers Limited, representing 18 per cent of Indus' share capital through an accelerated book-build offering.
"The placing raised Rs 15,300 crores in gross proceeds, which will be used to substantially repay Vodafone's existing lenders in relation to the outstanding bank borrowings of 1.8 billion euro secured against Vodafone's Indian assets," Vodafone said in a note.
Following the transaction, Vodafone now holds 82.5 million shares or 3.1 per cent stake in Indus Towers.
Meanwhile, Bharti Airtel has increased its stake in Indus Towers by 1 per cent with the acquisition of around 26.95 million shares.
"Pursuant to the approval of Special Committee to acquire up to 27 million equity shares of Indus Towers, the Company has acquired around 26.95 million (i.e. 1 per cent) equity shares on-market today," Airtel said in a regulatory filing.
With this transaction, Airtel's stake in Indus Towers increased to 48.95 per cent from the 47.95 per cent stake it held earlier.
Shares of Indus Towers on Wednesday closed at Rs 334 apiece, down 2.88 per cent on BSE.