Bharti Airtel-BT Group: The British government will oppose any attempt from Indian billionaire Sunil Bharti Mittal to increase his stake in telecoms group BT, citing the need to maintain sovereign control over "critical national infrastructure", the Financial Times reported on Thursday, citing people familiar with the matter.
Reuters could not immediately verify the report. BT, the UK government, and Bharti did not immediately respond to requests for comment.
Reuters exclusively reported last week that Bharti Enterprises was seeking to potentially increase its stake in BT to just under the threshold that would require it to make a full takeover offer for the British telecoms group.
The Reuters report added that Bharti Enterprises is seeking to potentially increase its stake in BT to just under the threshold that would require it to make a full takeover offer for the British telecoms group.
The group is looking to secure UK government approval required for it to be able to increase its stake in the London-listed company.
It could increase its stake to as much as 29.9% to gain greater economic exposure to BT but does not plan to pursue a full takeover, the report said citing people familiar with the matter.
A Bharti spokesperson then told Reuters that the company is pleased with its current 24.95% shareholding and "currently has no plans to increase its stake."
Government's Review
Any move by Bharti to increase its stake beyond 25% would have to be reviewed by the government under the National Security and Investment Act, which gives the government greater say over deals where national interests might be involved.
The group first bought a stake in BT in 2024 by acquiring a 24.5% shareholding from Altice's Patrick Drahi, making it a key strategic shareholder in the company. Bharti said at that time it was supportive of BT's executive team and its "ambitious" transformation programme to deliver long-term sustainable growth.
Bharti Has No Plans To Bid For All Of BT
Bharti, which owns the Bharti Airtel brand operating in 17 countries across South Asia and Africa, said at the time of that acquisition that it did not intend to bid for all of BT, the former state monopoly which is Britain's biggest broadband and mobile company.
In September Mittal, founder and chairman of Bharti Enterprises, and Gopal Vittal, vice chairman and managing director of Bharti Airtel, joined the BT board as non-independent non-executive directors.
The UK approved the purchase in London-listed BT at the end of 2024 after a detailed national security assessment and assurances from the telecoms company. BT established a national security committee to oversee "strategic work that it performs which has an impact on or is in respect of the national security" of the country, the UK government said at the time.
(With agency inputs)
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