Airtel approves allotment of 71.1 mn shares to Google at Rs 734 per share

Google will hold 1.2 per cent of the total post-issue equity shares of the company, Bharti Airtel said

Telecom major Bharti Airtel on Thursday approved the preferential allotment of 71.1 million shares to tech giant Google, at an issue price of Rs 734 per share, the company said in a regulatory filing.

The company's 'Special Committee of Directors for Preferential Allotment' met earlier today and has given the nod for the decision.

"Allotment of 711,76,839 equity shares of the face value of Rs. 5/- each fully paid up, on preferential basis to Google International LLC (Google) at an issue price of Rs. 734/- per equity share (including a premium of Rs. 729 per equity share)," Bharti Airtel's regulatory filing said.

Due to this, Google will hold 1.2 per cent of the total post-issue equity shares of the company's shares.

"The paid-up equity share capital of the company will stand increased to Rs 28,306,517,827.50 divided into 5,563,231,650 fully paid-up equity shares of Rs 5 each and 392,287,662 partly- paid-up equity shares of Rs 5 each", it further added.

In January 2022, Airtel had announced that Google will invest $700 million for a stake of 1.28 per cent in the company.

Additionally, Google will set aside $300 million for potential investment in areas like smart phone access, networks, and cloud. The investment will help Airtel to offer a wide range of affordable devices to consumers.

Google is the acquisition through a holding company Google Investments LLP which is a subsidiary of Alphabet.

The shares of Bharti Airtel closed 0.21 per cent down at Rs 642.10 at BSE.