Indus Towers share price declined over 14 percent intraday on February 24 as Vodafone Plc said it would sell stake in the firm.
British telecom giant Vodafone Plc on February 23 announced that it would sell a 2.4 percent stake in Indus Towers via a block deal to telecom major Bharti Airtel. Bharti Airtel and Vodafone Group are the company's promoters. Vodafone holds about 28 percent while Bharti Airtel holds close to 42 percent in Indus Towers.
Vodafone was in discussions to sell around a 5 percent stake in Indus Towers to Bharti Airtel, according to a PTI report. The stake is estimated to be valued at over Rs 3,300 crore, and the proceeds will be pumped into the Indian entity Vodafone Idea, the report said.
“Vodafone Group Plc holds 757.8 million shares in Indus Towers Limited, equivalent to a 28.1 percent shareholding. Some 190.7 million of these shares, equivalent to a 7.1 percent shareholding, are currently pledged to Indus as part of the security arrangements entered into between Vodafone and Indus at the time of the merger of Indus Towers with Bharti Infratel,” the UK-based telco said in a disclosure to the London Stock Exchange (LSE).