Bharti Infratel extends deadline for merger with Indus Tower

Bharti Infratel has informed the bourses that its board of directors have extended the deadline of its merger with Indus Towers by 60 days to December 24. The board has accepted the recommendation of extension provided by committee of directors.

The company further said that it expects lower equity dilution of the current shareholders of Bharti Infratel owning to lesser number of shares to be issued against swap of Indus shares as against the illustrative shareholdings disclosed in the original transaction announcement. Further, this would lead to lower cash payments to Vodafone Idea Limited on possible exit from the merged entity as against the illustrative amounts disclosed earlier.

However, this transaction is subject to regulatory approval.

With response to this development, the stock of Bharti Infratel tanked nearly 10 per cent to touch 52-week low of Rs. 213.75. In last two trading session the stock is down by almost 17 per cent.