Indian Continent Investment Ltd Divests Nearly 1% Stake in Bharti Airtel for Rs 11,227 Crore

Indian Continent Investment Ltd, promoted by Sunil Bharti Mittal & Family, sold nearly 1% of its stake in Bharti Airtel for Rs 11,227 crore. This transaction was conducted through open market deals. The company, a key promoter of Bharti Airtel, offloaded 6 crore shares in two parts, reducing its stake from 2.47% to 1.49%. Promoters' overall holding decreased to 50.27%.

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Bharti Airtel's Financial Performance

Bharti Airtel's shares dropped by 3.28%, closing at Rs 1,859.50 on the NSE. On Tuesday, the company reported a significant 43% rise in consolidated profit for the first quarter ending June 2025, reaching Rs 5,947.9 crore. This is an increase from Rs 4,160 crore in the same period last year. Revenue from operations grew by 28.4% to Rs 49,463 crore.

Promoter Stake Adjustments

Bharti Telecom Ltd remains the largest promoter with a 40.47% stake in Bharti Airtel. In May, Singtel sold about 1.2% of its direct stake in Bharti Airtel for SGD 2 billion (approximately USD 1.5 billion). This move aligns with Singtel's strategy to optimise its asset portfolio and enhance shareholder returns.

Historical Transactions and Stake Sales

In November 2024, Bharti Telecom acquired around 1.2% of Bharti Airtel shares from Indian Continent Investment Ltd for Rs 11,680 crore. Earlier in March 2024, Singtel sold a 0.8% stake in Bharti Airtel for Rs 5,849 crore to GQG Partners and other investors. In September 2022, Singtel's unit Pastel divested a 1.59% stake for Rs 7,261 crore.

Revenue and ARPU Growth

Bharti Airtel's India revenue surged by 29% year-on-year to Rs 37,585 crore during the quarter under review. The average revenue per user (ARPU) in India increased to Rs 250 from Rs 211 a year ago. This metric is crucial for assessing a telecom operator's growth.

Singtel raised approximately SGD 3.5 billion in total from selling Airtel shares between 2022 and 2024. These funds supported the group's expansion into digital infrastructure and sustainable shareholder distributions. Prior transactions included selling stakes to Bharti Telecom and GQG Partners.

Details about the buyers of Bharti Airtel's shares remain undisclosed on the exchange. The company's financial performance and strategic stake adjustments reflect its ongoing efforts to strengthen its market position and optimise shareholder value through strategic transactions and operational growth initiatives.

With inputs from PTI