Bharti Global poised to acquire 25 per cent in BT
Indian conglomerate Bharti Global has announced its acquisition of a 25% stake in British telecommunications giant BT Group. The stake is being purchased from the French media company Altice, as part of a strategic deal between the two firms. Additionally, Altice will acquire a 9.99% stake in BT, further solidifying its presence within the British telecom market.
This landmark transaction highlights Bharti Global’s confidence in the UK as a prime destination for investment, particularly in sectors with stable business environments and long-term growth potential. Bharti Global’s investment is being seen as a strong endorsement of BT’s business model and its future prospects.
In a statement, Bharti Global emphasised the attractiveness of the UK for global investors, citing the country’s stable business and policy environment as key factors in their decision. “This investment is a vote of confidence in the UK as an attractive global destination for investment, with a stable business and policy environment attractive for long-term investors,” the company stated.
Allison Kirkby, CEO of BT Group, welcomed the investment with optimism, viewing it as a validation of BT’s strategic direction and potential. “We welcome investors who recognise the long-term value of our business, and this scale of investment from Bharti Global is a great vote of confidence in the future of BT Group and our strategy,” she said. Kirkby further noted the longstanding relationship between BT and Bharti Enterprises, expressing her eagerness to continue fostering this partnership. “BT has enjoyed a long association with Bharti Enterprises, and I’m pleased that they share our ambition and vision for the future of our business.”
The historical ties between BT and Bharti Global date back to the late 1990s and early 2000s, when BT held a 21% stake in Bharti Airtel, Bharti Global’s telecom arm, and had two seats on its board. This prior relationship has laid a strong foundation for the current investment, building on years of mutual respect and shared goals in the telecommunications industry.
Sunil Bharti Mittal, Chairman of Bharti Global, underscored the confidence his company has in BT’s leadership and strategic direction. “This investment demonstrates the confidence we have in BT and in the UK. BT has a strong portfolio of market-leading brands, high-quality assets, and an experienced management team with a compelling strategy mandated by the BT board to deliver value over the long term, which we fully support,” he remarked.
The acquisition is not only a financial investment but also a strategic move by Bharti Global to expand its footprint in the global telecommunications industry. Shravin Bharti Mittal, Sunil Bharti Mittal’s son and Managing Director of Bharti Global, highlighted the alignment between the two companies’ visions for the future. “We review global investment opportunities in the world of technology from digital infrastructure to software. BT is well known to us from the long association with Bharti, so we are pleased to have this opportunity to acquire a significant stake in the company. We believe that BT is poised for leadership in the telecom arena, especially home broadband services,” he stated.
The transaction is expected to close following regulatory approvals, and it marks a pivotal moment for both Bharti Global and BT Group. For BT, this substantial investment not only reinforces its market position but also provides a strong partner in Bharti Global, known for its successful ventures in the telecom sector. For Bharti Global, the acquisition represents a strategic entry into the UK’s telecommunications market, aligning with its broader global ambitions in technology and digital infrastructure.
