An official supply speaking to PTI claims that the federal government will purchase a stake within the closely indebted Vodafone Thought as soon as its inventory worth stabilises at Rs 10 or extra. The board of Vodafone Thought (VIL) has proposed a stake at par worth of Rs 10 per share to the federal government. The acquisition should happen at par worth, based on a SEBI normal. In response to the PTI report, DoT will approve the acquisition if VIL shares stabilise at Rs 10 or extra.
Since April 19, VIL shares have been buying and selling under Rs 10. On Thursday, the inventory fell 1.02% to shut at Rs. 9.68 on the BSE. The request to purchase a share in VIL had been authorised by the finance ministry in July.
Additional Particulars on This Case
The closely indebted Vodafone Thought (VIL) has chosen to transform roughly Rs 16,000 crore of curiosity liabilities owing to the federal government into fairness, amounting to a couple of 33% possession within the firm, whereas promoters’ holding will drop from 74.99% to 50%.
The federal government had offered telecom operators with the selection of paying the curiosity for the deferred spectrum funds and AGR (adjusted gross income) obligations over a four-year interval by changing the NPV of such curiosity quantity into fairness. As of September 30, 2021, the overall gross debt of the corporate—excluding lease obligations and together with accrued however unpaid curiosity—was Rs 1,94,780 crore.
The sum consists of Rs 1,08,610 crore in postponed spectrum cost commitments, Rs 63,400 crore in government-owed AGR liabilities, and Rs 22,770 crore in debt owed to banks and different monetary establishments as of January 11, 2022, the date it provided to transform curiosity legal responsibility into fairness. On the finish of the April–June 2022 quarter, VIL had whole gross debt of Rs 1,99,080 crore (excluding lease liabilities and together with curiosity accrued however not due), which included deferred spectrum cost obligations of Rs 1,16,600 crore, AGR liabilities of Rs 67,270 crore which can be owed to the federal government, and debt from banks and monetary establishments of Rs 15,200 crore.