Singapore Telecommunications Ltd. (ST), Southeast Asia’s biggest phone company, will buy more shares in Bharti Telecom Ltd. to tap potential growth in India.
SingTel, as the company is known, will buy 788,538 shares, or 3.62 percent, of Bharti Telecom for S$383.6 million ($302 million) from MacRitchie Investments Pte, SingTel said in a statement to the Singapore stock exchange today.
SingTel plans to spend S$2 billion on acquisitions as growth in wireless earnings slows in Singapore and other countries. The company has said it is considering increasing stakes in its associates as it taps into the growth opportunities in faster-growing markets in Asia.
SingTel’s stake in Bharti Telecom, which is linked to Bharti Airtel Ltd. (BHARTI), will increase to 39.78 percent from 36.16 percent after the acquisition. The company’s effective interest in Bharti Airtel will rise to 32.34 percent from 30.76 percent.
The deal is expected to be completed Aug. 28, according to SingTel.
To contact the reporter on this story: Chou Hui Hong in Singapore at firstname.lastname@example.org
To contact the editor responsible for this story: Alexander Kwiatkowski at email@example.com