BHARTI AIRTEL CITED FOR BREACH OF THE LAW

The Lusaka high court has ruled that BHARTI Airtel flouted the law by offering the minority shareholders to sell their shares at 710 kwacha per share.

Judge Flavia Chishimba has upheld the plaintiffs’s plea that BHARTI Airtel did not offer the minority shareholders an option to acquire the shares in contention.

She states that compulsory acquisition of shares should in consonant with the law and attract a fair price.

Judge Chishimba has ordered that the terms of the compulsory acquisition notice for the shares be varied and that BHARTI Airtel should include a provision to give the minority share holders the option for allotment of shares.

She states that the consideration price at which BHARTI Airtel acquired CELTEL shares be disclosed to the minority share holders.

Judge CHISHIMBA observes that this will enable the applicants to determine whether to exercise the option for a cash consideration.

She has granted BHARTI Airtel leave to appeal.

This is in a matter where eight minority share holders had challenged the compulsory acquisition of CELTEL shares by BHARTI Airtel.