Standard & Poor’s Ratings Services said today that its long-term corporate credit rating on Bharti Airtel Ltd. (BB+/Stable/–) is unaffected by the company’s US$165 million investment for a 49% stake in Qualcomm India BWA, the India broadband wireless business of Qualcomm Inc.
The investment in Qualcomm provides Bharti with access to spectrum for providing broadband wireless services in Kerala, Haryana, and the key markets of Mumbai and Delhi.
“We believe the current investment is small in size and that Bharti should be able to absorb the financial impact of paying for the remaining stake and of assuming debt at Qualcomm India BWA. We estimate the additional impact to be between US$900 million and US$1 billion. This is assuming that Bharti will gain full ownership of Qualcomm India BWA in phases by the end of 2014.” said Standard and poor.
The investment in Qualcomm BWA provides Bharti with access to spectrum for providing broadband wireless services in Kerala, Haryana, and the key markets of Mumbai and Delhi.
Firstpost encourages open discussion and debate, but please adhere to the rules below, before posting. Comments that are found to be in violation of any one or more of the guidelines will be automatically deleted:
Personal attacks/name calling will not be tolerated. This applies to comments directed at the author, other commenters and other politicians/public figures
Please do not post comments that target a specific community, caste, nationality or religion.
While you do not have to use your real name, any commenters using any Firstpost writer's name will be deleted, and the commenter banned from participating in any future discussions.
Comments will be moderated for abusive and offensive language.