Vodafone Idea board assembly on Wednesday to contemplate as much as Rs 500 crore fundraising from Voda Group

Vodafone Idea’s Board is scheduled to fulfill on June 22, to contemplate and approve a proposal for elevating funds to the tune of Rs 500 crore.

The fundraising will probably be by means of the issuance of fairness shares or convertible warrants on a preferential foundation to a number of entities belonging to Vodafone Group (one of many promoters of the corporate).

“… A meeting of the Board of Directors of the company is scheduled to be held on Wednesday, 22nd June 2022… to consider proposal for raising of funds aggregating up to Rs 500 crore, by way of issuance of equity shares and/or convertible warrants on a preferential basis to one or more entities belonging to Vodafone Group (one of the promoters of the company),” VIL stated in a submitting to BSE on Sunday night.

The transfer comes because the Indian telecom market is poised for the 5G spectrum public sale and subsequent rollout of new-age choices.

Following the September reforms introduced by the Centre, debt-ridden Vodafone Idea (VIL) had opted for changing about Rs 16,000 crore curiosity dues legal responsibility payable to the federal government, into fairness.

This will outcome within the authorities holding a couple of 33% stake within the firm.

Sources on the Department of Telecommunications (DoT) stated that VIL’s fairness conversion proposal is within the closing levels, and required approvals on the identical are anticipated as early as 7-10 days.