Vodafone Idea To Make Preferential Issue Of Shares To Aditya Birla Group Entity For INR 2,075 Crore - Eastern Mirror
Monday, May 20, 2024
image
Business

Vodafone Idea to make preferential issue of shares to Aditya Birla Group entity for INR 2,075 crore

6091
By IANS Updated: Apr 06, 2024 8:36 pm
Vodafone Idea

NEW DELHI — The board of directors of Vodafone Idea on Saturday approved a preferential issue of shares to an Aditya Birla Group entity to the tune of INR 2,075 crores.

The board approved the issuance of upto 1,395,427,034 Equity Shares of face value of INR 10 each at an issue price of INR 14.87 per equity share (including a premium of INR 4.87 per equity share), aggregating to INR 2,075 crores to Oriana Investments Pte. Ltd (Aditya Birla Group entity forming part of the promoter group), on a preferential basis.

The relevant date, in terms of the provision of ICDR Regulations for determining the floor price of the Preferential Issue, is April 8.

The Board also approved an increase in the authorised share capital of the Company from the existing INR 75,000 crores (divided into INR 70,000 crore equity share capital and INR 5,000 crore preference share capital) to INR 1,00,000 crores (divided into INR 95,000 crore equity share capital and INR 5,000 crore preference share capital).

The Board also approved the convening of an extraordinary general meeting of the Company on Wednesday, 8th May, 2024, to approve the above matters.

Earlier in February, the Board of Directors of Vodafone Idea approved a fundraise of up to INR 20,000 crores via a combination of equity and or equity-linked instruments.

The company had said that the promoters would also participate in the proposed equity raise, as committed earlier.

In addition, the company remains actively engaged with its lenders for tying up the debt funding, which will follow the equity fundraise.

Through a combination of equity and debt, the Company plans to raise around INR 45,000 Crores. The Company’s bank debt currently stands at less than INR 4,500 crores. The equity and debt fundraising will enable the company to make investments towards significant expansion of 4G coverage, 5G network rollout and capacity expansion.

6091
By IANS Updated: Apr 06, 2024 8:36:07 pm
Website Design and Website Development by TIS