New Delhi, February 26: Bharti Airtel will seek shareholders' nod on March 19 for issuance of about 3.64 crore equity shares of the company to Lion Meadow Investment Ltd (LMIL) on preferential basis, to execute its deal for buying additional 20 per cent stake in its DTH arm Bharti Telemedia, according to a regulatory filing.
As per the contours of the recently-announced deal, Bharti Airtel will acquire 20 per cent stake in Bharti Telemedia from Warburg Pincus affiliate, LMIL, for about Rs 3,126 crore.
The transaction will be discharged primarily via issuance of about 3.64 crore equity shares of Airtel at a price of Rs 600 per share and up to Rs 1,037.8 crore in cash, Bharti Airtel had stated earlier. Airtel Enters Advertising Business with Airtel Ads.
In a BSE filing, Bharti Airtel said an Extraordinary General Meeting of the company will be held on March 19, 2021 "to seek the approval of the members on the proposal of 'Issuance of equity shares of the company on preferential basis' through Special Resolution".
The company will seek shareholders' approval to "create, offer, issue and allot up to 36,469,913 equity shares of the face value of Rs 5 each fully paid up, on a preferential basis to LMIL".
This would be as partial consideration other than in cash, for the sale of 102,040,000 equity shares of Rs 10 each fully paid up of Telemedia held by LMIL to the company at a price of Rs 600 per equity share, the filing said.