Vodafone Idea stock in focus as Centre plans to acquire its stake after price stabilizes

The telecom operator also repaid a debt of Rs2700 crore to State Bank of India (SBI), sources said.

September 09, 2022 12:06 IST | India Infoline News Service
Vodafone Idea Limited (VIL) stocks in focus on Friday's trading session after the announcement that the government will acquire a stake in debt-ridden telecom firm.

Accordingly, the telecom-industry has decided to opt for converting about Rs16,000 crore of interest liability payable to the government into equity which will amount to around 33 % stake in the company while promoters' holding will decline to % from 74.99%.

Notably, the Central Government will acquire th stake after the share price of the company stabilises at Rs10 or above. The board of Vodafone Idea has offered a stake to the government at a par value of Rs 10 per share. Also, the finance ministry had cleared the proposal to acquire stake in VIL in July.

An official source told PTI, "there is a SEBI norm that the acquisition should take place at par value. DoT will clear the acquisition process after VIL shares stabilize at Rs10 or above."

Further, a
ccording to the sources and  media reports, the telecom operator also repaid a debt of Rs2700 crore to State Bank of India (SBI).

On Friday, Vodafone Idea was trading at Rs9.64 per share lower by Rs0.05 or 0.52% as against previous closing of Rs9.69% on the BSE. Today, the stock opened at Rs9.80 per share and previously, the scrip ended at Rs9.69 on the BSE platform.

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