Wednesday , October 27 2021

Bharti Airtel Ltd.: Bharti Airtel International starts buying up its $ 1.5 billion worth of bonds to reduce debt


Bharti Airtel said on Saturday he would pay $ 1.5 billion in debt with his subsidiary Bharti Airtel International (the Netherlands), using revenues from six global entities investing in its unit in Africa.

Bharti Airtel International (NL) B V started the $ 1.5 billion cash purchase, 5,125 percent of the Senior Notes that were due in 2023, said Bharti Airtel in the regulatory announcement.

This offer, as he said, was made with the aim of "proactive management of the capital structure, reduction of gross debt and leverage by purchasing bonds financed from capital inflows, as well as ensuring liquidity for holders of bonds with a premium on the market."

The Bharti Airtel Group continues to delve and implement strategies in this area, she added.

"Accordingly, it is actively investigating various share-based initiatives, including those previously announced for business in Africa, to actively manage the balance sheet and capital structure to match the core conservative philosophy of the group," he said.

Bharti Airtel International (Netherlands) Airtel Africa Ltd, a British subsidiary of Bharti Airtel Limited, has recently completed a successful initial $ 1.25 billion share offering for six leading global investors, including Warburg Pincus, Temasek, Singtel, SoftBank Group and others .

"Proceeds from the issue of shares are to be used to reduce Airtel Africa's debt by about $ 5 billion on the day of the announcement," it said.

The share issue proceeds are now fully implemented and available in cash. The company also conducts ecological cash in its balance sheet.

"The company wants to use the proceeds from this issue of shares and the cash available to reduce existing debt by offering to buy" all and all "of the Bonds in accordance with the Call.

"Through the Call, the company provides liquidity to the Bondholders with a certain premium over the market price after commissioning" – it was written in the statement.

This offer is an addition to the previously announced tender, in which the repayment amounts to EUR 1 billion, 4%. Bonds maturing in December 2018. For which funds were obtained and which are available in cash in the company.

Earlier this week the Moody & # 39; s Investors Service reviewed the rating of Bharti Airtel in order to lower it at a low level of profitability and expectations of weak cash flows.

Moody & # 39; s has reviewed to downgrade the rating of "Baa3" and the higher unsecured rating of Bharti Airtel and senior secured ratings of Bharti Airtel International (the Netherlands) B V.

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