A wholly owned subsidiary of Singtel, Pastel executed the sale and offloaded 71 million Airtel shares at Rs 1,814 per share
Singapore Telecommunications (Singtel) has sold a 1.2% direct stake in Sunil Mittal-owned telecom company Bharti Airtel for $ 1.54 billion. Following the stake sale, Singtel’s holding in Airtel will decrease from 29.5% to 28.3%. The company, in an exchange filing on May 16 said, the stake sale deal aims to streamline its portfolio and enhance long-term shareholder value.
“This transaction allows us to crystallise value at an attractive valuation while remaining a significant shareholder of Airtel,” Group Chief Financial Officer, Singtel, Arthur Lang said in a statement.
A wholly owned subsidiary of Singtel, Pastel executed the sale and offloaded 71 million Airtel shares at Rs 1,814 per share. The transaction was priced at a 2.85% discount to Airtel’s closing stock price on May 15. Most of the stake was purchased by domestic mutual funds and long-only international funds. Singtel’s remaining 28.3% in Airtel is valued at around S$ 48 billion.
The present stake sale by Singtel aligns with its previous move. Earlier in 2022, the Singapore-based company had sold a 3.3% stake to Bharti Telecom and a 0.8% stake to GQG Partners in 2024. The company had said the stake sale aimed to support its 5G rollout, digital infrastructure expansion and sustainable shareholder returns.
Although Singtel is reducing its stake in the Sunil Bharti-led telecom giant, the company assured its commitment as a long-term strategic investor in Airtel, as their relationship spans over 20 years.
Recently, Bharti Airtel posted its fourth-quarter results for the financial year 2025. The telecom giant recorded a 432% YoY increase in its net profit at Rs 11,022 crore. Its profit adjusted for exceptional items rose 77% YoY to Rs 5,223 crore. Q4 revenues increased 27% YoY to Rs 47,876 crore, fueled by strong momentum in India, the impact of Indus Towers consolidation, and reported currency revenue growth in Africa.