Shares of Bharti Airtel fell almost 6% within an hour of trade on Wednesday morning after Reuters reported that a Qatari investor was selling 5% stake in the telecom major. The news of the possible sale was reported on Tuesday after the market closed for the day.
Three Pillars Pte Ltd, an affiliate of the Qatar Foundation, wants to sell about 20 crore shares in Bharti Airtel for Rs 473-490 each, according to documents accessed by Reuters. The price range is lower than the stock’s closing price on Tuesday, but higher than what the investor paid for it in 2013. The investor had bought the shares at a rate of Rs 340. The deal could amount to about Rs 9,500 crore.
However, the shares of Bharti Airtel recovered later in the day and ended at Rs 496.30 on the National Stock Exchange, about 3.5% lower from Tuesday’s closing price.
Ever since multiple West Asian countries imposed sanctions on Qatar in June and put its economy under pressure, investors in the country have been trying to raise cash by reducing their stakes in overseas companies.