Mumbai: Aditya Birla Group Chairman Kumar Mangalam Birla on Thursday said Vodafone Idea's Rs 18,000 crore fund raising is a "fresh lease of life" for the company and claimed the telco will make a smart comeback.
The company, which is struggling to retain customers amid the aggressive play of bigger rivals Reliance Jio and Bharti Airtel, will focus on growing its network, densifying it and introducing select 5G services, Biral told Vodafone Idea. told reporters at the listing ceremony. Follow-on public offer.
Describing this as the beginning of 'Vi 2.0', Birla said that the amount raised will be invested in the business, which will start the cycle of growth.
“Vi will make a smart comeback, this moment marks the beginning of Vi 2.0,” Birla said at the listing ceremony.,
Asked whether most of the company's problems are solved with a capital increase, Birla replied in the affirmative.
"And it's kind of a new lease of life for the company," he said.
He credited the government's reform package for ensuring their reach for the company and helping preserve the three-player telecom market.
“A country of 1.4 billion people deserves three private telecom players,” he said, calling Vi a “national asset” that serves 215 million people and has more than 8,000 MHz of spectrum.
Speaking to reporters, Birla refused to comment on the news of stake sale in Indus Towers.He said Vi's promoters Vodafone and Aditya Birla Group have invested more than Rs 1.70 lakh crore in the telco so far and said that in the last five years, three-fourths of the Rs 30,000 crore invested in the company has come from the two parents. Have come from. ,
The company's total debt now stands at Rs 4,000 crore, which the group chairman said is low.
Speaking at the same event, SBI Chairman Dinesh Kumar Khara said bankers have endured "tough times" and there were concerns over the unit, crediting Birla with confidence and trust.
He also reiterated that the country needs three private telecom companies, and praised Birla for bringing in personal funds and investments from investors from around the world.
The company raised Rs 18,000 crore from investors in the FPO issue, which was almost 7 times oversubscribed.Birla said the retail portion also gets fully subscribed.
Shares of Vodafone Idea closed 5.27 per cent higher at Rs 13.78 on BSE on Thursday, compared with 0.66 per cent gain in the benchmark.
The company, which is struggling to retain customers amid the aggressive play of bigger rivals Reliance Jio and Bharti Airtel, will focus on growing its network, densifying it and introducing select 5G services, Biral told Vodafone Idea. told reporters at the listing ceremony. Follow-on public offer.
Describing this as the beginning of 'Vi 2.0', Birla said that the amount raised will be invested in the business, which will start the cycle of growth.
“Vi will make a smart comeback, this moment marks the beginning of Vi 2.0,” Birla said at the listing ceremony.,
Asked whether most of the company's problems are solved with a capital increase, Birla replied in the affirmative.
"And it's kind of a new lease of life for the company," he said.
He credited the government's reform package for ensuring their reach for the company and helping preserve the three-player telecom market.
“A country of 1.4 billion people deserves three private telecom players,” he said, calling Vi a “national asset” that serves 215 million people and has more than 8,000 MHz of spectrum.
Speaking to reporters, Birla refused to comment on the news of stake sale in Indus Towers.He said Vi's promoters Vodafone and Aditya Birla Group have invested more than Rs 1.70 lakh crore in the telco so far and said that in the last five years, three-fourths of the Rs 30,000 crore invested in the company has come from the two parents. Have come from. ,
The company's total debt now stands at Rs 4,000 crore, which the group chairman said is low.
Speaking at the same event, SBI Chairman Dinesh Kumar Khara said bankers have endured "tough times" and there were concerns over the unit, crediting Birla with confidence and trust.
He also reiterated that the country needs three private telecom companies, and praised Birla for bringing in personal funds and investments from investors from around the world.
The company raised Rs 18,000 crore from investors in the FPO issue, which was almost 7 times oversubscribed.Birla said the retail portion also gets fully subscribed.
Shares of Vodafone Idea closed 5.27 per cent higher at Rs 13.78 on BSE on Thursday, compared with 0.66 per cent gain in the benchmark.