Bharti Airtel to raise funds via overseas debt

NEW DELHI: No. 1 carrier Bharti Airtel Wednesday said it is planning to raise funds by issuing 10-year, dollar-denominated bonds.

The bonds are expected to be listed on the Singapore Stock Exchange, the company said in a notice to the Bombay Stock Exchange.

The mobile phone operator expects to use the funds for capital expenditure, the notice said.

Bharti Airtel took part in the recent bruising spectrum auctions, and also needs funds to expand its 3G and 4G network.

Standard & Poor's Ratings Services assigned A 'BBB-' long-term issue rating to the proposed issuance.

"Bharti expects to primarily use part of the proceeds of the proposed notes towards capital expenditure, which we believe will enable the company to apply its business cash flows towards deleveraging", the ratings agency said.