Bharti Telecom plans Rs 9,000-crore bond sale to refinance debt
Mumbai | New Delhi: Bharti Telecom is looking to raise ₹8,500-9,000 crore through a sale of bonds, its second in two months, as the holding company of Bharti Airtel seeks to refinance existing borrowings, people familiar with the matter said.
The company plans to issue bonds with maturities of two and three years, the people said. The coupon rates are expected to be 7.3% for the two-year tranche and about 7.4% for the three-year paper, they said. The final pricing will depend on investor demand and the market conditions at the time of launch.
"This is a normal refinance of the company's bonds which are maturing next month. Talks are at an advanced stage, but no date has been set for the issue which is likely to be in the next couple of weeks," a person familiar with the plan said.
The company has hired Barclays for the sale. Institutional investors like mutual funds and insurance companies are expected to be investors in the issue.
Bharti Telecom did not immediately respond to an email seeking comment.
In October, the company initially delayed part of a planned issue on the expectation that revised external commercial borrowings rules would allow it to borrow at cheaper rates from offshore markets, the people said.
The total debt rollover planned at the time was around ₹19,000 crore. Eventually, Bharti Telecom raised ₹10,500 crore through two- and three-year bonds at 7.35% and 7.45%, respectively.
Bharti Telecom has ₹2,500 crore of debt maturing in November, and another ₹7,250 crore in December, analysts said. The holding company had total debt of ₹40,000 crore as of September 30, 2025, which was more than 15% of Bharti Airtel's adjusted debt.
Moody's Ratings upgraded Bharti Airtel's insurer rating to Baa2 from Baa3 in November, while revising the outlook to stable from positive. S&P Global Ratings also upgraded the telco's long-term issuer credit rating to BBB from BBB-, attributing it to the company's strong earnings momentum and cash flow.
The company plans to issue bonds with maturities of two and three years, the people said. The coupon rates are expected to be 7.3% for the two-year tranche and about 7.4% for the three-year paper, they said. The final pricing will depend on investor demand and the market conditions at the time of launch.
"This is a normal refinance of the company's bonds which are maturing next month. Talks are at an advanced stage, but no date has been set for the issue which is likely to be in the next couple of weeks," a person familiar with the plan said.
The company has hired Barclays for the sale. Institutional investors like mutual funds and insurance companies are expected to be investors in the issue.
Bharti Telecom did not immediately respond to an email seeking comment.
In October, the company initially delayed part of a planned issue on the expectation that revised external commercial borrowings rules would allow it to borrow at cheaper rates from offshore markets, the people said.
The total debt rollover planned at the time was around ₹19,000 crore. Eventually, Bharti Telecom raised ₹10,500 crore through two- and three-year bonds at 7.35% and 7.45%, respectively.
Bharti Telecom has ₹2,500 crore of debt maturing in November, and another ₹7,250 crore in December, analysts said. The holding company had total debt of ₹40,000 crore as of September 30, 2025, which was more than 15% of Bharti Airtel's adjusted debt.
Moody's Ratings upgraded Bharti Airtel's insurer rating to Baa2 from Baa3 in November, while revising the outlook to stable from positive. S&P Global Ratings also upgraded the telco's long-term issuer credit rating to BBB from BBB-, attributing it to the company's strong earnings momentum and cash flow.
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