Centre offloading holdings in Bharti Hexacom through IPO

 Bharti Hexacom has filed a draft red herring prospectus (DRHP) for a proposed IPO that entails an offer of sale by Telecommunications Consultants India Ltd, according to a regulatory filing.

The IPO will not have any fresh issuance of equity shares and since it is an offer for sale or OFS, Bharti Hexacom will not receive any proceeds from the IPO.

"We wish to inform you that Board of Directors of the company at its meeting held on Friday, January 19, 2024, have approved the IPO of equity shares of face value Rs 5 each comprising of an offer for sale of up to 100000000 (10 crore) equity shares by Telecommunications Consultants India Ltd, subject to such variation as permitted under applicable law," the BSE filing said.

Accordingly, the company filed a draft red herring prospectus on Friday with SEBI, for a proposed IPO for the offer by Telecommunications Consultants India Ltd. The offer represents 20 per cent of the paid-up equity share capital of Bharti Hexacom.

"The IPO shall not have any fresh issuance of equity shares and will be undertaken subject to requisite approvals and market conditions. Being an OFS, the company will not receive any proceeds from the IPO," the company said.

Bharti Hexacom provides telecommunication services in Rajasthan and North East.

According to the company's website, Bharti Airtel holds 70 per cent of the equity share capital of the company and the Government through Telecommunication Consultants of India Limited holds 30 per cent.