Telecom service provider Bharti Airtel Ltd. has begun the process of taking its subsidiary Bharti Hexacom public, sources with direct knowledge of the matter told CNBC-TV18. If it does materialise, it will be the first IPO from the Bharti Group after over a decade.

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The last IPO to have come out from the Bharti Group was Bharti Infratel, now known as Indus Towers, which listed back in 2012.

Sources further said that Bharti Hexacom's valuation is likely to be pegged at ₹20,000 crore and the listing process is likely to be completed by early-2024.

The parent company Bharti Airtel, which owns a 70% stake in Bharti Hexacom, has already appointed investment bankers like Axis Capital, SBI Cap, IIFL, and ICICI Securities to begin the IPO process, the sources said.

According to sources, the IPO is being aimed at giving the government-owned Telecommunications Consultants India Ltd. (TCIL), a partial or full exit. TCIL currently holds the remaining 30% stake in Bharti Hexacom.

Bharti Airtel's subsidiary runs its telecom operations in the North East and Rajasthan circles.

In response to CNBC-TV18's query, a Bharti Airtel spokesperson said that the company in its ordinary course explores various modes of raising funds, including, but not limited to raising funds by accessing the capital markets.

"The Company will make requisite announcements, if any, as required under applicable laws," the spokesperson said.

Shares of Bharti Airtel are currently trading 0.2% lower at 969.05. The stock has risen 20% so far in 2023.

(Edited by : Hormaz Fatakia)

First Published:Nov 22, 2023 1:29 PM IST