|
With this, the government has become the largest shareholder in the debt-laden telecom operator. The government now holds a 48.99% stake. The allotment includes 3,695 equity shares of Rs 10 each, at par. This strategic move comes after the company's earlier announcement on 30 March 2025, in line with the telecom relief measures outlined under the September 2021 Reforms and Support Package for the sector. The company allotted the shares under Section 62(4) of the Companies Act, 2013, following directions from the Ministry of Communications. Vodafone Idea's total paid-up share capital has increased to Rs 1.08 lakh crore after the allotment. The issue comprised over 10,834 crore shares. The government has increased its stake via the Department of Investment and Public Asset Management (DIPAM). The government has previously stated that it does not intend to operate the company. With the equity conversion, the telecom operator gets much-needed financial relief. This will allow the company to focus on operations and compete more effectively in the Indian telecom sector. Vodafone Idea is an Aditya Birla Group and Vodafone Group partnership. It is amongst India's leading telecom service providers. The company provides pan India Voice and Data services across 2G and 4G platforms. The company holds a large spectrum portfolio including mid band 5G spectrum in 17 circles and mmWave 5G spectrum in 16 circles. The company reported a consolidated net loss of Rs 6,609.3 crore in Q3 FY25 as against a net loss of Rs 6,985.9 crore in Q3 FY24. Revenue from operations rose by 4.16% year-on-year to Rs 11,117.3 crore in Q3 FY25. Shares of Vodafone Idea fell 1.67% to currently trade at Rs 7.06 on the BSE. Powered by Capital Market - Live News |