- Vodafone Idea Ltd share price rose over 8% on Tuesday trading
- Funding secured from State Bank of India for capital expenditure
- Stock gained 8.3% to an intraday high of Rs 15.24 on Tuesday
The share price of Vodafone Idea Ltd. surged over 8% on Tuesday, amid reports of the telecommunication firm securing funding from State Bank of India for its capital expenditure programmes. The stock continued to perform positively amid the anticipation of tariff hikes across the industry.
Vodafone Idea's stock price surged 8.3% to an intraday high of Rs 15.24 in the day's trade. The company's shares have gained 31% over a year-to-date period and 105% from a one-year perspective.
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SBI agreed to cover its share of Vodafone Idea's Rs 35,000 crore debt package after promoter firms assented to provide guarantees as per reports. SBI is not likely to release funds for the endeavour until the telecom company can obtain the remaining financing requirements from private sector banks.
Vodafone Idea has been negotiating with three different groups of lenders, which consist of a consortium of public sector banks led by SBI, private sector banks based in India and overseas lenders via external commercial borrowings (ECBs). These discussions are in service of the bank funding its capital expenditure programme of Rs 45,000 crore over three years.
Vodafone Idea CEO (chief executive officer) Abhijit Kishore stated that the firm had already raised Rs 6,400 crore making up its first tranche of funds, which included Rs 1,183 crore via warrants and debt proceeds, as well as ECBs and Indian private banks.
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"We are hopeful of closing the discussion with the PSU banks led by SBI, as well as continuing work on other debt-raised streams," Kishore said at the company's earnings call.
The company further placed fresh orders of around Rs 9,000 crore to expand its network, out of which Rs 1,930 crore had been deployed in the June 2026 quarter, he added.
Vodafone Idea Share Price Movement
Share price of Vodafone Idea saw a 7.96% uptick to settle at Rs 15.19 at the end of the day's trade, compared to a 0.48% uptick of the NSE Nifty 50.
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