Bharti Airtel makes Rs 8,024 crore spectrum prepayment to DoT

1 Aug 2023 , 09:57 AM

Bharti Airtel Limited informed that the company has prepaid Rs 8,024 crore to the Department of Telecommunications (DoT), clearing most of its dues related to airwaves acquired in 2015 via auction.

With this move, Bharti Airtel could be able to save on annual interest costs and boost cash flows even as it rapidly rolls out 5G networks and plans to roll out the next-gen mobile broadband services nationally by December.

The company further stated that the aforementioned installments carried a 10% interest rate and were prepaid, leveraging far lower-cost borrowing available to it.

Airtel continues to benefit from a well-diversified source of capital/financing, allowing it to have enhanced financial flexibility in its capital structure, including the optimized cost of financing by taking advantage of all opportunities for significant interest savings, such as this prepayment, the company said in its statement.

At around 9.52 AM, Bharti Airtel was trading 0.58% higher at Rs 895, against the previous close of Rs 889.90 on NSE. The counter touched an intraday high and low of Rs 897.40 and Rs 892.45, respectively.

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