Vi Share Price: The shares of Vodafone Idea witnessed a decline on the bourses after experiencing a surge of more than 5 per cent as the parent company of the firm completed its exit from Indus Towers.
On Thursday, Vodafone PLC (UK-based telecom operator) finalised its exit from Indus Towers by selling a 3 per cent stake for around Rs 2,800 crore via a block deal. The company stated that the proceeds from the sale would be used for reducing the debt levels of Vodafone Idea.
At 10:35 am, the Vodafone Idea shares were trading at Rs 8.13, down by nearly 3.44 per cent on the National Stock Exchange.
As for Indus Towers, the shares of the company surged by over 5 per cent on the bourses.
Why Vodafone Idea shares are falling?
The telecom company’s debt issues continues to escalate. Plus, the delay in financial assistance is further worsening the situation. As of June 30, 2024, Vodafone Idea’s total debt stood at Rs 4,650 crore, along with Rs 160 crore in optionally convertible debentures.
According to a regulatory filing, the company is planning to raise over Rs 2,000 crore through the "issuance of equity shares and/or convertible securities on a preferential basis."
"...a meeting of the Board of Directors of the Company is scheduled to be held on Monday, 9 December 2024, inter-alia, to consider proposal for raising of funds not exceeding Rs. 2,000 crore, by way of issuance of equity shares and / or convertible securities on a preferential basis to one or more entities belonging to Vodafone Group (one of the Promoters of the Company)," the company stated in a regulatory filing.
"The trading window for dealing in securities of the Company shall be closed from Thursday, 5 December 2024 till Wednesday, 11 December 2024 (both days inclusive)," the document further read.
On year-to-date basis, the shares of the company have declined by over 50 per cent on the bourses.
