Airtel Africa Gains Investor Confidence With £57m Share Purchase by Bharti Subsidiary
- Bharti Overseas Private Limited has elevated its voting rights in Airtel Africa to 12.58%
- This development comes after a Bharti subsidiary acquired 53.5 million Airtel Africa shares worth £57.2 million
- Simultaneously, the group has reported a reduction in the voting rights of one of its shareholders
PAY ATTENTION: Click “See First” under the “Following” tab to see Legit.ng News on your Facebook News Feed!
Legit.ng journalist Victor Enengedi has over a decade's experience covering Energy, MSMEs, Technology and the stock market.
Indian Continent Investment Limited has raised its stakes in Airtel Africa by purchasing shares valued at £57.25 million.
Indian Continent Investment Limited, headquartered in Mauritius, executed this acquisition of 53,500,000 units of Airtel Africa shares at a rate of £1.07 per unit per a corporate notice submitted to the Nigerian Exchange Limited.
Source: UGC
It would be recalled that Airtel Africa recently regained its position as the most valuable entity on the Nigerian stock market, a title it had relinquished for a period exceeding six months.
As stated in a corporate disclosure filed on the Nigerian Exchange Limited (NGX) website, the transaction occurred on Monday, November 6, 2023, on the London Stock Exchange, where Airtel Africa's shares are traded and listed.
Bharti increases voting rights in Airtel Africa
As per the notice, Indian Continent Investment Limited has connections to Shravin Bharti Mittal, who serves as the Managing Director of Bharti Global Ltd, the investment arm of the Bharti family.
A distinct notice indicated that Indian Continent Investment elevated its ownership from 11.02% to 12.58%. It now possesses 473,071,861 shares of the company indirectly.
With this acquisition, Bharti Overseas Private Limited has expanded its voting rights in Airtel Africa to 12.58% and now stands as the most prominent shareholder of Airtel Africa.
Similarly, another shareholder, Singapore Telecom International Pte Ltd, has decreased its ownership to less than 3% from 3.94%.
This reduction stemmed from selling a portion of its shares, also conducted on Monday.
Airtel announces cancellation of deferred shares
Airtel Africa declared on August 15, 2023, the termination and removal of all its deferred shares, each with a nominal value of $0.50, as ratified by the Company's shareholders during the annual general meeting held on July 4, 2023.
The High Court of England and Wales subsequently authorised and endorsed this cancellation and removal.
The capital reduction's outcome is the generation of supplementary distributable reserves, providing the company with additional resources that can be accessed for future purposes.
These reserves may be employed to support prospective returns to shareholders through dividends, distributions, or the acquisition of the company's shares.
The company affirms that after the capital reduction, its issued share capital will consist of 3,758,151,504 ordinary shares, each with a nominal value of $0.50 and each of these shares will hold one voting right.
It's worth noting that Airtel Africa had previously announced the appointment of Carl Cruz as the new Managing Director and Chief Executive Officer of its Nigerian subsidiary in May 2023.
NCC announces new rates for CUG Calls, text on MTN, Glo, Airtel, 9mobile
The Nigerian Communications Commission (NCC) announced changes for Closed User Group (CUG) call and data services, Legit.ng reported.
Starting November 1, 2023, Nigerian telecommunication companies are expected to charge a uniform call rate of N50 per minute for CUG services.
Service providers such as MTN, Glo, Airtel, and 9mobile offer CUG services that allow enrolled customer group members to enjoy lower call rates and free on-net calls by paying monthly access fees.
Source: Legit.ng
