New Delhi, Dec 4 (IANS) Bharti Airtel board will meet on Wednesday to explore ways for fundraising to meet the AGR dues of Rs 43,000 crore to the government within the stipulated three month period expiring on January 24.
The company will consider various options before it to raise the funds and how much. Analysts said it will be a mix of equity and debt finance and could be to the tune of Rs 35,000 crore through these tools. The telco is tight lipped about its plans other than just informing the exchange about the board meet to raise funds.
Street buzz is that it may go for up to 10 per cent equity dilution as debt financing could put pressure on its already Rs 1 lakh crore and above debt. Airtel owes about Rs 43,000 crore in dues to DoT on account of spectrum charges, licence fees , interests and penalties.
Bharti Airtel has reported a consolidated net loss of Rs 23,044.9 crore in Q2 of 2019-20, against a loss of Rs 2,866 crore in the previous quarter, on provisions towards Adjusted Gross Revenue (AGR). Its share price is up 460.70 INR +1.60 (0.35 per cent), it on December 1 announced tariff hike of up to 40 per cent.
Airtel has provided Rs 28,450 crore for the dues towards government after the AGR ruling by the Supreme Court. The company said total provisions as of September 30, aggregated Rs 34,260 crore. The company reported deferred tax of Rs 8,932 crore for the quarter that helped it pare some of the losses.
Disclaimer :- This story has not been edited by Outlook staff and is auto-generated from news agency feeds. Source: IANS