(MENAFN- The Peninsula) The Peninsula
Qatar Foundation Endowment (QFE) has announced the successful sale, via a block trade, of the entire 5 percent stake it holds in Bharti Airtel. The sale was made through its Asia-Pacific regional holding company Three Pillars Pte Ltd (TPPL).
The block trade was priced at Rs481 per share, a discount of 6.4 percent to the previous closing price as of November 7, 2017.
In May 2013, TPPL invested Rs68bn in Bharti Airtel to strengthen the capital structure and allow further investment for growth. The investment saw TPPL acquire 199.87 million shares at a price of Rs340 per share. Given the sale price of Rs481 per share, the sale of this stake realised a significant gain for TPPL.
The proceeds of the share sale will be reinvested as part of the QFE Group's ongoing global portfolio growth and diversification, as it seeks to generate long-term financial returns by investing across a range of asset-classes, industries, and geographies.
TPPL's representative on Bharti Airtel's Board of Directors stepped down immediately post settlement of the sale.
Commenting on the transaction, Rashid Al Naimi, Chief Executive Officer, QFE, said: 'We are delighted to have partnered with Bharti Airtel through an important stage of their growth. Bharti Airtel has successfully maintained its market-leading position, and its positive momentum has led to our investment performing well.
The QFE Group will reinvest the proceeds globally, as we continue to grow and diversify our portfolio. We remain firm supporters of the Bharti Airtel business, the management team, and their strategy, and wish them well in the future.
UBS acted as sole bookrunner on this transaction.
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