The board approved the issue of 1,395,427,034 equity shares of face value of Rs 10 each at an issue price of Rs 14.87 per equity share (including premium of Rs 4.87 per equity share) aggregating to Rs 2,075 crore to Orion Investments Pte. Ltd. (Aditya Birla Group entity which is part of Promote Group), on preferential basis.
As per the provision of ICDR Regulations for determining the floor price of preferential issue, the relevant date is 8th April.
The board also approved increasing the authorized share capital of the company from the existing Rs 75,000 crore (divided into Rs 70,000 crore equity share capital and Rs 5,000 crore preference share capital) to Rs 1,00,000 crore (divided into Rs 95,000 crore equity). share capital and preference share capital of Rs 5,000 crore).
The Board also approved convening of an extraordinary general meeting of the Company on Wednesday, May 8, 2024 to approve the above matters.
Earlier in February, Vodafone Idea's board of directors had approved raising funds of up to Rs 20,000 crore through a combination of equity and equity-linked instruments.
The company had said that promoters will also participate in the proposed equity increase, as promised earlier.
Additionally, the company is actively engaged with its lenders for debt funding, which will be followed by the equity fundraise.
Through a combination of equity and debt, the company plans to raise around Rs 45,000 crore. The company's bank debt is currently less than Rs 4,50 crore. The equity and debt fundraising will enable the company to invest for significant expansion of 4G coverage, 5G network rollout and capacity expansion.
As per the provision of ICDR Regulations for determining the floor price of preferential issue, the relevant date is 8th April.
The board also approved increasing the authorized share capital of the company from the existing Rs 75,000 crore (divided into Rs 70,000 crore equity share capital and Rs 5,000 crore preference share capital) to Rs 1,00,000 crore (divided into Rs 95,000 crore equity). share capital and preference share capital of Rs 5,000 crore).
The Board also approved convening of an extraordinary general meeting of the Company on Wednesday, May 8, 2024 to approve the above matters.
Earlier in February, Vodafone Idea's board of directors had approved raising funds of up to Rs 20,000 crore through a combination of equity and equity-linked instruments.
The company had said that promoters will also participate in the proposed equity increase, as promised earlier.
Additionally, the company is actively engaged with its lenders for debt funding, which will be followed by the equity fundraise.
Through a combination of equity and debt, the company plans to raise around Rs 45,000 crore. The company's bank debt is currently less than Rs 4,50 crore. The equity and debt fundraising will enable the company to invest for significant expansion of 4G coverage, 5G network rollout and capacity expansion.
