Airtel pre-pays Rs 15,519 cr to DoT

Bharti Airtel has paid Rs 15,519 cr to the Department of Telecom (DoT) towards prepayment of the entire deferred liabilities pertaining to spectrum acquired in auction of year 2014.

The company had acquired 128.4 MHz spectrum (including Telenor spectrum) for a consideration of Rs 19,051 crores in the 2014 auction.

These liabilities were due in annual instalments from FY 2026-2027 to 2031-2032 and carried an interest rate of 10% (the highest rate amongst the deferred liabilities and borrowings) and an average residual life of 7+ years. The company estimates that the prepayment will likely result in interest cost savings of at least Rs 3,400 cr over the residual life for fully substituted capital.

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