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Singtel Sells $1.16 Billion Stake in Bharti Airtel to Fund Digital Investments

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Singapore Telecommunications (Singtel) has sold a 0.8% stake worth about $1.16 billion in India’s Bharti Airtel, as part of its ongoing plan to recycle assets and boost investments in digital infrastructure, the company announced on Friday.

Singtel’s investment arm Pastel sold 51 million shares of Bharti Airtel, India’s second-largest telecom operator, at 2,030 rupees ($23.10) per share — about 3.1% below the stock’s previous close. The transaction was executed through a private placement to institutional investors.

The sale is part of Singtel’s S$9 billion (US$6.6 billion) mid-term asset recycling program, which aims to raise funds for expansion in digital services, data centers, and next-generation connectivity.

Following the divestment, Singtel now holds a 27.5% stake in Bharti Airtel, down from 31.4% in 2022, continuing a gradual reduction of its holdings since first investing in the Indian company in 2000.

Singtel said the sale will generate an estimated S$1.1 billion ($805 million) in gains, benefiting from Bharti Airtel’s surging valuation — its shares have quadrupled since 2019, driven by stronger earnings and rising average revenue per user.

Investors reacted positively to the move, sending Singtel’s shares up about 3% to S$4.65 by midday trading in Singapore. Bharti Airtel shares, however, fell around 4.5% in Mumbai, with more than 55 million shares changing hands via block deals, according to LSEG data.

The deal underscores Singtel’s strategy to strengthen its balance sheet while maintaining a long-term presence in one of the world’s fastest-growing telecom markets.

Starlink Partners with Airtel to Compete with Reliance Jio in India’s Broadband Market

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Elon Musk’s Starlink has signed a strategic partnership with India’s second-largest telecom company, Airtel, to bring satellite internet services to the country, intensifying competition with Mukesh Ambani’s Reliance Jio. The agreement, contingent on government approval, will allow Starlink to leverage Airtel’s retail network for distribution across India.

Airtel stated on Tuesday that the companies would explore ways to utilize each other’s network infrastructure to improve coverage, though specific details were not disclosed. Additionally, Airtel will consider offering Starlink services to its business and enterprise customers.

The announcement follows Indian Prime Minister Narendra Modi’s recent meeting with Musk in Washington, where they discussed technology, space, and innovation.

Starlink’s entry into India has faced regulatory hurdles, particularly a dispute with Reliance Jio over spectrum allocation. While Reliance Jio pushed for a spectrum auction, the Indian government aligned with Musk’s stance favoring administrative allocation, a move in line with global practices. Analysts suggest an auction would have required significantly higher investment, potentially discouraging foreign entrants.

Reliance Jio, which invested $19 billion in spectrum auctions, is concerned that Starlink could capture broadband users and eventually disrupt its data and voice services.

Airtel already has a similar partnership with global satellite operator Eutelsat, where its parent company holds a stake. Meanwhile, Eutelsat’s OneWeb and Reliance Jio have secured approvals from India’s space regulator to launch commercial satellite broadband services.