Shares of Bharti Aitel in early trade on May 26, 2020 fell as much as 5.4% to day's low of Rs.561.1 per share on the BSE.
This is after one of the company's promoter Bharti Telecom is seeking to pare its 2.75% stake in the company via private placement to institutional investors for $1 billion. For potential investors, up to 150 million equity shares shall be made available via the book-building process. For the deal, floor price is pegged at Rs. 558, which is a 6% discount to the closing price of Airtel of Rs. 593.3 as on May 22.
Subsequent to the sale of shares, there will be a 90-day lock-in for the promoter entity.
Shares of Airtel were last trading at Rs. 574.8, down Rs. 18.20 or 3.07% per share on the BSE.