New Delhi: Bharti Airtel board will meet
on Wednesday to explore ways for fundraising to meet the AGR dues of Rs
43,000 crore to the government within the stipulated three month period
expiring on January 24.
The company will consider various options
before it to raise the funds and how much. Analysts said it will be a
mix of equity and debt finance and could be to the tune of Rs 35,000
crore through these tools. The telco is tight lipped about its plans
other than just informing the exchange about the board meet to raise
Street buzz is that it may go for up to 10 per cent equity
dilution as debt financing could put pressure on its already Rs 1 lakh
crore and above debt. Airtel owes about Rs 43,000 crore in dues to DoT
on account of spectrum charges, licence fees , interests and penalties.
Airtel has reported a consolidated net loss of Rs 23,044.9 crore in Q2
of 2019-20, against a loss of Rs 2,866 crore in the previous quarter, on
provisions towards Adjusted Gross Revenue (AGR). Its share price is up
460.70 INR +1.60 (0.35 per cent), it on December 1 announced tariff
hike of up to 40 per cent.
Airtel has provided Rs 28,450 crore
for the dues towards government after the AGR ruling by the Supreme
Court. The company said total provisions as of September 30, aggregated
Rs 34,260 crore. The company reported deferred tax of Rs 8,932 crore for
the quarter that helped it pare some of the losses.