Bharti Hexacom Shares Rally To All-Time High, Airtel Stocks Also Trade Higher; Know Why

Bharti Hexacom, Bharti Airtel Share Price: Shares of Bharti Airtel Ltd and Bharti Hexacom Ltd gained up to 3 per cent in trade on April 23 on the NSE. The stocks gained after the companies signed a deal with Adani Data Networks Ltd to acquire spectrum usage rights.

Bharti Hexacom Ltd shares gained over 3 per cent to hit an all-time high of Rs 1,697.9 apiece on the NSE. On the other hand Bharti Airtel shares gained nearly 1 per cent to hit an intraday high of Rs 1,867 apiece on the NSE.

Bharti Airtel Ltd and its subsidiary Bharti Hexacom Ltd informed the exchanges on April 22 via a release that the companies have entered into an agreement with Adani Networks Ltd. Adani Networks Ltd is a subsidiary of Adani Enterprises. Following the agreement, Bharti Airtel and Bharti Hexacom have acquired the right to use 400 MHz of spectrum in the 26 GHz band.

“Bharti Airtel Limited and its Subsidiary, Bharti Hexacom Limited (“Airtel” or “Company”) have entered into definitive agreements with Adani Data Networks Limited (ADNL), a subsidiary of Adani Enterprises to acquire rights to use of 400 MHz of spectrum in the 26 GHz band in Gujarat (100 MHz), Mumbai (100 MHz), Andhra Pradesh (50 MHz), Rajasthan (50 MHz), Karnataka (50 MHz) and Tamil Nadu (50 MHz),” the company said in the release.

Notably the move marks the Adani Group’s exit from the telecom spectrum sector, three years after acquiring airwaves in a government auction. With the current transfer, the Adani group company has completely transferred its entire spectrum holding to Bharti Airtel.

Earlier in 2022, Adani Data Networks bought 400 MHz of spectrum at the 5G auction from the government for nearly Rs 212 crore. Auction rules state that companies need to have a minimum of 90 network sites active in each circle where they hold the spectrum by the end of the third year from the date on which they acquired the spectrum. Notably, Adani Network the three year period would have ended for Adani Networks in August 2025.

Bharti Hexacom IPO

Bharti Hexaom Ltd raised Rs 4,275 crore via its public issue through an offer-for-sale of 7.5 crore shares. The stock listed on the exchanges on April 12 at Rs 755.2 on the BSE and Rs 755 on the NSE, with a premium of 32.45 per cent compared to the IPO price of Rs 570 per share. At the all-time high level hit by the stock today, the stock has surged over 124 per cent from its listing price and over 197 per cent from its issue price.

Shares of Bharti Airtel Ltd closed at Rs 1,869.9 apiece on the NSE, up by 0.96 per cent and shares of Bharti Hexacom Ltd closed at Rs 1,640 apiece, down by 0.09 per cent on the NSE.