Airtel finalizes Rs 21,000 crore rights issue

Bharti Airtel in a regulatory filing said its board on Sunday approved up to Rs 21,000 crore rights issue.
Airtel mobile network India
The Board, which met to consider the company’s capital raising plans, cleared rights issue price of Rs 535 per fully paid-up equity share, including a premium of Rs 530 per equity share.

Airtel’s board approved the issuance of equity shares of face value of Rs 5 each of the company on rights basis to eligible equity shareholders of the company, of an issue size of up to Rs 21,000 crores.

The rights entitlement ratio entails 1 equity share for every 14 equity shares held by shareholders as on the record date.

Airtel said the terms of payment of issue price, envisage 25 percent on application and balance in two more additional calls as may be decided by the Board or committee of the Board based on the company’s requirements within an overall time-horizon of 36 months.

Airtel said the promoter and promoter group of the company would collectively subscribe to the full extent of their aggregate rights entitlement. They will also subscribe to any unsubscribed shares in the issue.

The board has constituted a Special Committee of Directors to decide the other terms and conditions of the issue including issue period and the record date.