- Vodafone Idea to receive $500 million equity infusion from Aditya Birla Group
- Aditya Birla Group to subscribe to 430 crore warrants at Rs 11 each on preferential basis
- Warrants are fully convertible into equity shares, approved by Vodafone Idea board
Shares of Vodafone Idea are in focus heading into trade on Monday after a fresh funding from Aditya Birla Group, in an attempt to stabilise the debt-laden telecom operator's financial position.
The fundraise was announced this past weekend, with Aditya Birla Group committing an equity infusion of $500 million or Rs 4,730 crore into Vodafone Idea via the issuance of warrants, as per the filing.
Vodafone Idea said that the board approved issuance of fully convertible warrants of Rs. 4,730 crore ($500 million) to an Aditya Birla Group (promoter) entity on preferential basis; each warrant is convertible into one fully paid-up equity share.
The telecom firm will avail the issuance of upto 430 crore warrants for each equity share through the Aditya Birla Group arm Suryaja Investments Pte. Ltd., Singapore. This will be undertaken at an issue price of Rs 11 per warrant, aggregating up to Rs 4,730 Crore on a preferential basis.
This comes on the back of Vodafone Idea fourth quarter earnings, where a one-time accounting gain due to AGR re-assessment saw its profit skyrocket to over Rs 50,000 crore, compared to the loss of Rs 5,286 crore in the same period last year.
Vodafone Idea FY26 Highlights (Cons, QoQ)
- Net Profit Of Rs. 51,970 crore Vs Loss Of Rs. 5,286 crore
- Revenue Up 0.1% At Rs. 11,332 crore Vs Rs. 11,323 crore
- Ebitda Up 1.5% At Rs. 4,889 crore Vs Rs. 4,817 crore
- Ebitda Margin At 43.1% Vs 42.5% QoQ
ALSO READ: Vodafone Idea Fundraising: Aditya Birla Group Commits $500M Infusion
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