Bharti Infratel IPO opens for subscription
Bharti Infratel (BIL), one of the largest tower infrastructure companies, has opened its 18.89 crore shares initial public offer for subscription on Tuesday. The price band for the issue is fixed at Rs 210-240 a share.
December 11, 2012 / 10:46 IST
Bharti Infratel (BIL), one of the largest tower infrastructure companies, has opened its 18.89 crore shares initial public offer for subscription on Tuesday. The price band for the issue is fixed at Rs 210-240 a share.
The issue comprises a fresh issue of over 14.62 crore equity shares of the company and an offer for sale of over 4.26 crore equity shares by Goldman Sachs, Anadale, Nomura and Compassvale / Temasek.A subsidiary of country’s largest telecom operator Bharti Airtel aims to raise around Rs 3,967-4,534 crore through the issue and offered a discount of Rs 10 to the final issue price to retail investors.Yesterday it has received Rs 650.9 crore by allocating 2.83 crore shares at Rs 230 a share to 18 anchor investors.Also Read: Bharti Infratel IPO to open on Dec 11: Avoid or subscribe?The company that has a pan India presence with operations in all 22 telecommunications circles intends to use issue proceeds for installation of 4,813 new towers; upgradation & replacement on existing towers; and green initiatives at tower sites.As of September 2012, Bharti Infratel owned and operated 34,220 towers in 11 telecom circles while Indus, wherein the company has 42 percent equity interest along with 42 percent interest by Vodafone and 16 percent by Idea Cellular, operated 1,10,561 towers in 15 circles. Both companies currently provide access to their towers primarily to wireless telecom services providers on a shared basis.CRISIL had assigned grade 4/5 to the IPO, indicating that the fundamentals of the IPO are ‘above average’ relative to the other listed equity securities in India. BIL reported consolidated profit after tax of Rs 750.73 crore on total income of Rs 9,597.06 crore for the year ended March 31, 2012. For the period of six months ended September 30, 2012, the company recorded PAT of Rs 460.46 crore on total revenues of Rs 5090.89 crore.The issue will close on December 14 for non-institutional bidders and retail individual investors and on December 13 for QIB bidders.The equity shares are proposed to be listed on the Bombay Stock Exchange and National Stock Exchange.The book running lead managers to the issue are DSP Merrill Lynch, JP Morgan India, Standard Chartered Securities, UBS Securities India, Barclays Securities India, Deutsche Equities India, Enam Securities and Kotak Mahindra Capital Company.Also Read
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