At the end of the June quarter, the promoters of Indus Towers had a 50% stake in the company.
Indus Towers shares had declined earlier this week after the board approved a foray into the African market, starting off with countries like Uganda, Nigeria and Zambia.
The foray raised concerns with regards to a potential dividend payout from the company, and instead spend the cash for its geographic expansion.Indus Towers has not paid dividends to its shareholders since May 2022, over concerns of delayed payments from its key customer Vodafone Idea.
In May this year, Indus Towers was supposed to announced a bonus or buyback of shares or both at its board meet. However, the meeting was delayed, leading to a decline in the stock.
Brokerage firm Ambit, in a note on Friday, wrote that the risks surrounding Indus Towers are overblown and that the stock is its top pick within the telecom space. Ambit has a target of ₹525 on the stock.
Earlier, Citi too had maintained its “buy” rating on Indus Towers with a price target of ₹460 on the stock, while CLSA had trimmed its target to ₹520 but maintained its positive stance.
Shares of Indus Towers are trading 5% higher on Friday at ₹339.95.
