Indian Continent Investment to Offload ₹7,100 Crore Stake in Bharti Airtel

Indian Continent Investment Limited, a major promoter entity of Bharti Airtel Limited, has initiated a block deal to sell approximately ₹7,100 crore worth of shares in the telecom operator. The deal involves the sale of 34.3 million shares, representing about 0.56% of Bharti Airtel's total outstanding share capital. The shares are being offered at a floor price of ₹2,096.70 each, which reflects a 3% discount compared to the last closing price of ₹2,161.60 on the National Stock Exchange (NSE) as of 25 November 2025.

Financial Performance

In its most recent quarterly results, Bharti Airtel reported a consolidated net profit of ₹6,791 crore for the period between July and September 2025. This figure represents a 14.2% increase compared to the preceding quarter's profit of ₹5,948 crore and exceeded analyst expectations, which had estimated a profit of ₹6,600 crore. The company's revenue for the same quarter stood at ₹52,145 crore, reflecting a 5.4% rise from ₹49,462 crore in the previous quarter, surpassing market forecasts of ₹51,006 crore.

Bharti Airtel's earnings before interest, taxes, depreciation, and amortisation (EBITDA) grew by 6.2% quarter-on-quarter to ₹29,561 crore, compared to ₹27,838.7 crore in the prior quarter. The EBITDA margin improved slightly to 56.7%, up from 56.3% in the June quarter, indicating a consistent focus on cost efficiency and operational leverage.

Subscriber Growth and Future Prospects

The average revenue per user (ARPU), a critical indicator in the telecommunications industry, increased by 2.4% sequentially to ₹256, up from ₹250 in the first quarter of the fiscal year 2026. This growth underscores the company's ongoing success in attracting premium subscribers and monetising data services.

As of September 2025, Indian Continent Investment held a 1.48% stake in Bharti Airtel. Following this stake sale, the promoter entity's holding will drop below 1%. According to the term sheet, the block deal is expected to close on 26 November, with settlement anticipated on 27 November. Goldman Sachs (India) Securities Private Limited has been appointed as the sole placement agent for the transaction.

Market Reaction

Following the announcement of the block deal, shares of Bharti Airtel ended at ₹2,160.75, marking an increase of ₹9.90 or 0.46% on the BSE on 25 November. The stock's performance has been buoyed by strong operational results and positive market sentiment.

Additionally, it is noteworthy that Singapore Telecommunications Limited (Singtel) had previously divested approximately 0.8% of its stake in Bharti Airtel as part of its strategy to streamline its investments in regional telecom sectors.

Market analysts expect that the ongoing premiumisation strategy and potential tariff hikes in December 2025 could significantly enhance Bharti Airtel's revenue and free cash flow in the coming years. Estimates suggest that the company could generate ₹1 lakh crore in free cash flow between fiscal years 2026 and 2027, driven by growth in its mainline mobile services and the expansion of its operations in Africa.