Bharti Airtel, India's second-largest telecom company, is seeking shareholder approval to raise its stake in Airtel Africa from approximately 62.7% to 79% through a cashless share-swap deal valued at 282.22 billion rupees ($2.9 billion). This move highlights Africa's importance as a high-growth market, contributing over 25% to Bharti's consolidated revenue by March 2026.
Additionally, Bharti aims to increase its stake in BT Group from 24.95% to nearly 30% to enhance its economic exposure, although it has stated that it does not plan a full takeover. This strategic expansion comes as Indian companies are increasingly investing abroad, with overseas investments reaching $35.8 billion in the past year, according to Morgan Stanley.
Bharti's previous investments in Africa and BT have shown promising returns, with Airtel Africa's share price rising over 78% in the past year and BT's shares increasing by 55% since Bharti's initial investment. The planned IPO of Airtel Mobile Commerce B.V. is also expected to unlock significant value for the company.
Overall, these developments indicate Bharti Airtel's commitment to leveraging international markets for growth amid a challenging domestic environment