Singapore Telecommunications Ltd on Thursday said it would sell a 3.3% stake in India’s Bharti Airtel Ltd to Bharti Telecom Ltd for an aggregate consideration of about S$2.25 billion ($1.61 billion).
Singtel, Southeast Asia’s largest telecom firm, said its units Pastel Ltd and Viridian Ltd would together sell 198 million shares they hold in India’s second-biggest telecom operator.
The stake sale comes when Singtel trims down its portfolio to sharpen its focus on core businesses.
Singtel said last month it would sell its loss-making digital marketing arm Amobee for $239 million, monetised a 1.6% stake in Airtel Africa for about S$150 million in March, and sold a 70% stake in its Australian tower network for A$1.9 billion last year.
After the stake sale, Singtel‘s effective holding in Bharti Airtel will fall to 29.7%, it added.
Proceeds from the sale may be used to reduce the group’s debt and fund 5G capital expenditures and growth initiatives.
Reuters