Telecom major Bharti Airtel Ltd on Wednesday said it will undertake restructuring of its foreign subsidiaries with an aim to delayer and simplify the structure and bring in synergies among the companies.
“The Board of Directors…has approved the company’s investments in its wholly-owned subsidiaries Bharti Airtel International (Mauritius) Ltd (BAIM), Bharti Airtel International (Netherlands) B.V. (BAIN), Netherlands and Bharti International (Singapore) Pte Ltd (BISPL), Singapore will be held entirely by Network i2i Ltd (Ni2i), Mauritius, another wholly-owned subsidiary of the company,” Bharti Airtel said in a BSE filing.
The company will continue to hold 100 per cent of Ni2i.
It further stated, “BAIN will continue to hold the shareholding in African operating companies and the company’s investments in its wholly-owned subsidiaries Bharti Airtel (USA) Ltd, Bharti Airtel (Hong Kong) Ltd and Bharti Airtel (UK) Ltd will be help entirely by BISPL, another wholly-owned subsidiary of the company.”
“The resultant ‘vertical step by step shareholding structure’ envisaged by the above restructuring aims to offer number of benefits including delayering and simplification of structure and synergies without any change in ultimate ownership over the said subsidiaries,” the filing added.
The company expects to complete the transaction on or before March 31, 2017 subject to regulatory approvals.