Bharti Airtel was up 5.33 per cent to Rs 752. Vodafone Idea climbed 7.54 per cent to Rs 10.70. Reliance Industries, owner of Jio, however, was trading down due to another negative news about its oil business.
“Bharti Airtel has always maintained that the mobile Average Revenue Per User (ARPU) needs to be at Rs 200 and ultimately at Rs 300, so as to provide a reasonable return on capital that allows for a financially healthy business model,” Bharti Airtel said in a statement.
“We also believe that this level of ARPU will enable the substantial investments required in networks and spectrum. Even more important, this will give Airtel the elbow room to roll out 5G in India.”
The company said it is taking the lead in rebalancing our tariffs during the month of November. Accordingly, its new tariffs will come into effect from November 26, 2021.
Analysts believe it will be positive for the stock and see buying demand to continue. They added that other telecom operators may also raise prices to close the gap.
Agencies
