New Delhi: Vodafone Idea shares are expected to be in focus on March 31, 2025, Monday after the government announced its plan to raise stake in the debt-ridden telecom operator. The government confirmed to raise stake in Voda Idea to 49 per cent with fresh share acquisition worth Rs 37,000 crore.
In its regulatory filing on Sunday, Vodafone Idea stated that the total amount to be converted into equity shares is Rs 36,950 Crore. The company has been directed to issue 3,695 crore equity shares of the face value of Rs 10/- each at an issue price of Rs 10/- each within a period of 30 days after issuance of necessary order from relevant authorities including from Securities and Exchange Board of India.
“The pricing of shares to be allotted has been arrived basis the higher of the volume weighted price of equity shares during last 90 trading days preceding the Relevant Date or 10 days preceding the Relevant Date (the Relevant Date being 26 February 2025), subject to provision of section 53 of the Companies Act, 2013 (i.e. shares cannot be issued at less than the par value). Post the aforesaid issuance of equity shares, the Government of India shareholding in the Company will increase from existing 22.60% to approx. 48.99%. The promoters will continue to have operational control of the company,” the company’s statement read.
“The Ministry of Communications… in line with the September 2021 Reforms and Support Package for Telecom Sector has decided to convert the outstanding spectrum auction dues, including deferred dues repayable after expiry of the moratorium period, into equity shares to be issued to the Government of India. The total amount to be converted into equity shares is Rs 36,950 crore,” the filing said.
Currently, the government has 22.6 per cent stake in Voda Idea. The fresh acquisition will take its total holding more than the combined stake of the company’s promoter firms — Vodafone and Aditya Birla Group. VIL promoters hold 14.76 per cent and 22.56 per cent stake in the company, respectively, at present.
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The Indian government will increase its stake in Vodafone Idea (VIL) to approximately 49% by converting Rs 36,950 crore in outstanding spectrum dues into equity shares. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
