Airtel board forms committee to explore fund raising options for strengthening balance sheet

Telecom operator Bharti Airtel board Thursday constituted a committee to explore options for raising funds to strengthen company's balance sheet. According to reports, the company has plans to raise around USD 2 billion. 

"The company at its meeting held today has formed and authorised 'special committee of directors for fund raising' to comprehensively explore/evaluate various options of fund raising for the company to strengthen its capital structure and balance sheet," Bharti Airtel said in an exchange filing.

The company, however, did not quote the amount it plans to raise. The committee will have to place the final recommendation before the board for its approval and final decision, it added. 

Bharti Airtel had recently raised USD 1.25 billion from six global investors -- Warburg Pincus, Temasek, Singtel, SoftBank Group and others through a primary equity issuance in Airtel Africa. 

The telecom major used the fund to reduce Airtel Africa's existing debt of approximately USD 5 billion.

The consolidated debt of Bharti Airtel stood at around USD 16 billion at the end of July-September 2018 period.