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Airtel Buys 3.33% Additional Stake in Avaada MHBuldhana

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Airtel Buys 3.33% Additional Stake in Avaada MHBuldhana Telco giant, Bharti Airtel has obtained a 3.33 percent stake in special purpose vehicle Avaada MHBuldhana that was formed for the purpose of owning and operating the Captive Power Plant.

In a late night notice on BSE Airtel says, “...the Company has further ...for acquisition of additional 2,914,100 equity shares (approx. 3.33 percent) at Rs. 10 per equity share in Avaada MHBuldhana Private Limited, a special purpose vehicle formed for the purpose of owning and operating the Captive Power Plant, in terms of the regulatory requirement for captive power consumption.”

This marks the second acquisition of this type in Avaada MHBuldhana for Airtel, previous one being a 5.2 percent stake for Rs.4.55 crore in an all cash deal. However, the indicative time for completion of the acquisition is expected to be April 30, 2021, states the statement.

The telco has also allotted about 36.47 million preferential shares to a Warburg Pincus affiliate at Rs.600 apiece along with Rs.1,038 crore in cash to buy out the US fund house's 20 percent stake in its DTH arm, Bharti Telemedia.

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