Singapore Telecommunications Ltd. (Singtel) sold a 0.8% stake in Indian telecom operator Bharti Airtel Ltd. to US-based investment firm GQG Partners for 5,849.13 crore Indian rupees ($706 million).

The company conducted the transaction through its unit Pastel Ltd., the Singapore-based communications technology group said in a stock exchange announcement. The unit sold 49 million Airtel shares at 1,193.7 rupees apiece to GQG via stock exchange transaction, it added.

Singtel said the transaction is the latest in the group's capital recycling efforts to unlock value from its assets, but it plans to remain invested in Airtel for the long term.

Following the transaction completion, Singtel’s effective stake in Airtel will decrease to 29% from 29.8%.

Singtel Group Chief Financial Officer Arthur Lang said Airtel continues to see steady growth across all its businesses and has been rewarded with strong market valuations.

“We believe there’s more room for growth, given India’s accelerated digital transformation and we intend to stay invested for the long term while working with Bharti Enterprises to equalize our effective stake in Airtel over time,” he added.

Shares of Airtel were up 0.5% at 1,199.25 apiece on the NSE in Mumbai afternoon trading today.

Note: $1 = 82.8590 Indian rupees

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