Bharti tower unit set for 2013 IPO
Bharti Infratel, the tower subsidiary of India’s Bharti Airtel, is reportedly planning to raise $800 to $900 million next year in an IPO.
The Financial Times reports that the company plans to float 10% of Bharti Infratel to raise cash and also provide an exit for private equity investors including Goldman Sachs and Temasek, citing two people familiar with the matter.
The IPO is expected to be the country’s largest in two years and would value Bharti Infratel at up to $9 billion at the predicted price range.
Mumbai bankers told the publication that the IPO, which is still awaiting regulator approval, could be followed by other telecoms infrastructure flotations.
Infratel’s assets include over 34,000 telecoms towers and a 42% stake in Indus Towers, a JV with Vodafone India and Aditya Birla Telecom, that offers passive infrastructure services to telecoms service providers.
The IPO is being coordinated by JPMorgan, Bank of America Merrill Lynch, Standard Chartered and UBS.