After the tower business’s August 14 buyback, which Bharti Airtel led, concludes, the telecom infrastructure company will have only one shareholder Indus Towers. Previously holding 48.95% of the business, Airtel will now own over 50% of Indus Towers, forming the telecom behemoth’s subsidiary.
On August 14, Indus Towers started repurchasing Rs 465 per share, for a total of Rs 2,639.9 crore. 56.7 million shares, or roughly 2.1% of the total equity shares in the company’s paid-up share capital, were purchased as part of this buyback.
Both firms’ share prices increased after the announcement. During the day, Indus Towers had a 1.61% boost in trading at Rs 444.45, and Airtel saw a 2.21% increase in shares to Rs 1,556.
Vodafone, a leading British telecom company, raised Rs 15,300 crore in June by selling an 18% interest in Indus Towers through block agreements. According to analysts, Indus Towers was projected to get less than Rs 4,250 crore, with the money going toward repaying Vodafone Group’s current debtors.
Due to this sale, Vodafone Group’s stake in Indus Towers dropped dramatically from 21.5% to 3.1%. Indus Towers recorded a 42% increase in consolidated profit for the quarter ended June 30, coming in at Rs 1,925.9 crore as opposed to Rs 1,347.9 crore in Q1 FY24.
