The agency said in a statement that "it had raised its long-term corporate credit rating on Bharti Airtel Ltd to 'BBB-' from 'BB+'. The outlook is stable."
Simultaneously, S&P raised the long-term issue rating on the USD 1.5 billion raised by the company through senior unsecured notes and the 1 billion euro bonds backed by the company's guaranty to 'BBB-' from 'BB+'.
A 'BBB-' rating is considered the lowest investment grade by market participants and a BB+ rating is considered the highest speculative grade, according to S&P's website.
The agency said it expects Bharti to generate free operating cash flows of USD 1.5 billion-USD 2 billion annually despite acquiring spectrum in the February auction at a price that is significantly higher than its earlier estimate.
Dion Global Solutions Ltd.