Bharti Airtel on Friday said it will allot over 2.06 crore shares to certain Foreign Currency Convertible Bonds (FCCB) holders at a conversion price of Rs 518 per share.

FCCB is a debt instrument to raise funds from overseas market. They have a fixed coupon rate and principal payments and also give bondholders the option to convert their investment or holdings into stocks.

The telco said in a regulatory filing that upon receipt of notices for conversion of these bonds of principal value of $148 million from certain FCCBs holders, the special committee of directors for fund raising has approved the allotment of 20,607,722 fully paid-up equity shares.

Bharti Airtel had raised $1 billion via 1.50 per cent convertible bonds due 2025 in January 14, 2020.

They could be converted into fully-paid up equity shares at any time on or after February 27, 2020 and up to the close of business hours on February 7, 2025, at the option of the FCCB holders.

PTI