Shares of Bharti Airtel, one of India’s leading telecom companies, remained largely flat during morning trade on February 18, 2025, after the firm witnessed a significant block deal worth ₹8,475 crore.
A total of 5.1 crore shares exchanged hands in the deal, with promoter entity Indian Continent Investment Ltd (ICIL) likely being the seller. The transaction saw approximately 0.9% of Bharti Airtel’s equity stake being offloaded.
Despite this large block deal, Bharti Airtel’s stock price showed minimal movement, suggesting that the market had already priced in the stake sale.
Block Deal Details
📌 Key Highlights of the Block Deal:
- Total Shares Traded: 5.1 crore
- Deal Value: ₹8,475 crore
- Stake Sold: 0.9% of Bharti Airtel
- Floor Price: ₹1,658.80 per share
- Current Trading Price: ₹1,671.7 (+0.23%)
- Seller (Likely): Indian Continent Investment Ltd (ICIL)
Indian Continent Investment Ltd, one of Bharti Airtel’s promoter entities, is reported to have offloaded 4.82 crore shares (0.8% stake) through a block deal, with the remaining 0.1% stake making up the full 5.1 crore shares traded.
The floor price for the transaction was set at ₹1,659 per share, a 1% discount to Bharti Airtel’s current market price.
🔸 Merchant Banker Handling the Transaction: Jefferies
Market Reaction and Share Performance
🔹 Bharti Airtel’s Stock Movement on February 18, 2025:
- Opening Price: ₹1,668
- Intraday High: ₹1,674
- Intraday Low: ₹1,659
- Last Traded Price at 10:30 AM: ₹1,671.7 (+0.23%)
Despite the large transaction, Bharti Airtel’s stock price remained stable, reflecting a neutral investor sentiment. This suggests:
✅ Market anticipated the block deal and priced it in beforehand.
✅ Strong fundamentals of Airtel kept the stock resilient despite promoter selling.
📉 However, in the previous session on February 17, 2025, Bharti Airtel’s stock had fallen 2.42%, closing at ₹1,675.55 per share after reports surfaced of another possible stake sale by SingTel.
Promoter Entity Indian Continent Investment’s Stake Sale
Indian Continent Investment Ltd, a key promoter entity of Bharti Airtel, was planning to offload 4.82 crore shares (0.8% stake) through the block deal.
📝 Key Details of ICIL’s Stake Sale:
✔ Stake Sold: 0.8% of Airtel’s total shares
✔ Deal Value: ~₹7,800 crore
✔ Floor Price: ₹1,659 per share
✔ Discount to Market Price: ~1%
This move is seen as part of ICIL’s broader financial strategy to unlock capital while maintaining a substantial stake in the telecom giant.
SingTel’s Reported Block Deal Plans
📢 Upcoming Block Deal by SingTel?
According to reports from CNBC Awaaz, Singapore Telecommunications Ltd (SingTel) is planning to sell another tranche of its stake in Bharti Airtel via a block deal.
📊 Expected Details of SingTel’s Stake Sale:
- Stake Value: ₹8,500 crore (~$1 billion)
- Current Holding in Bharti Airtel: ~30%
- Expected Selling Quantity: Not yet disclosed
🔸 Impact of SingTel’s Stake Sale on Bharti Airtel:
- Could further impact stock price due to increased supply of shares in the market.
- Might indicate SingTel’s strategy to monetize its holdings while maintaining a significant stake.
🔍 Promoter Holding Before and After Previous SingTel Stake Adjustments:
- November 2024: SingTel raised its stake to 30%.
- Mittal Family Holding: Dipped to 23.7% post-November adjustments.
If SingTel executes another major sale, it could further reduce its stake, potentially altering Airtel’s ownership structure in the long run.
Bharti Airtel’s Q3FY25 Financial Performance
📊 Strong Quarterly Earnings Report
Bharti Airtel posted robust financial results for Q3FY25, reporting a massive five-fold jump in consolidated net profit to ₹16,134.6 crore.
📌 Key Financial Highlights (Q3FY25 vs. Q3FY24):
✅ Net Profit: ₹16,134.6 crore (vs. ₹2,876.4 crore in Q3FY24)
✅ Revenue: ₹45,129.3 crore (+19% YoY)
✅ EBITDA: ₹24,880 crore
✅ EBITDA Margin: 55.1%
✅ Mobile Services Revenue Growth (India): +21.4% YoY
📈 Growth Drivers Behind Airtel’s Strong Performance:
✔ Tariff hikes boosting revenue
✔ Higher smartphone penetration and customer additions
✔ Indus Tower consolidation benefits
✔ Consistent market share gains in telecom sector
Future Outlook for Bharti Airtel
🔮 What Lies Ahead for Bharti Airtel?
✔ Tariff Increases Expected: Industry experts anticipate further tariff hikes, supporting revenue and profit growth.
✔ 5G Expansion in India: Bharti Airtel is aggressively rolling out 5G services, positioning itself as a leader in India’s next-gen telecom space.
✔ Strategic Partnerships: Continued partnerships with global telecom giants could drive further innovations in the sector.
✔ Potential Stake Sales: Any further block deals (SingTel or promoters) could lead to short-term stock fluctuations.
📌 Investor Sentiment: Despite block deals, Airtel remains a strong telecom player with healthy financials and long-term growth potential.
Conclusion
Bharti Airtel witnessed a significant block deal worth ₹8,475 crore as 5.1 crore shares changed hands on February 18, 2025. While promoter entity Indian Continent Investment Ltd was the likely seller, SingTel is also reportedly planning to offload another tranche of shares worth ₹8,500 crore.
Despite these developments, Bharti Airtel’s stock remained largely stable, reflecting investor confidence in its strong financial performance and growth trajectory.
💡 Looking ahead, Airtel’s focus on 5G expansion, tariff hikes, and strategic partnerships will be key to sustaining its market leadership.
