Bharti Telcom, the promoter group company of telecom major Bharti Airtel will sell 2.75% stake in the company to raise USD 1 billion. The bulk deal will be concluded at floor price of Rs 558 per share. Bharti Telecom plans to reduce its debt by selling stake. Bharti Telecom owns nearly 41 percent stake in Bharti Airtel.

At Rs 558, the deal has been agreed at a discount of 6 percent compared to Rs 593 closing price of Bharti Airtel on Friday. Indian markets were closed today due to holiday. The deal will be done on exchange on May 26, as per reports.

Indian telecom sector has witnessed massive changes with entry of Reliance Jio. While many companies went bankrupt or faced major decline in business, Bharti Airtel emerged as a strong competitor for Reliance Jio. Bharti Airtel stock declined massively as JIO continued to gain consumer base after its launch. As Jio started charging for its plans, Bharti Airtel matched the offers from Jio and the company witnessed stability. Investors are confident that Bharti Airtel will be among the major telecom players in India for years to come.

As per PTI News report, “Bharti Telecom has roped in JP Morgan for raising $1 billion by selling 150 million equity shares at a price of Rs 558 percent per unit. It is a discount of six percent on closing price of Rs 593.2 per share as on May 22.”

Sunil Bharti Mittal and his family owns nearly 52 percent stake in Bharti Telecom.