Vodafone Idea To Issue Preferential Shares Worth Rs2,075 Crore to Aditya Birla Group Entity
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 Rs2,075 crore.
 
The board approved the issuance of up to 1,395,427,034 equity shares of face value of Rs10 each at an issue price of Rs14.87 per equity share (including a premium of Rs4.87 per equity share), aggregating to Rs2,075 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 8th April.
 
The board also approved an increase in the authorised share capital of the company from the existing Rs75,000 crores (divided into Rs70,000 crore equity share capital and Rs5,000 crore preference share capital) to Rs1,00,000 crores (divided into Rs95,000 crore equity share capital and Rs5,000 crore preference share capital).
 
The Board also approved the convening of an extraordinary general meeting of the Company on Wednesday 8 May, 2024, to approve the above matters.
 
Earlier in February, the Board of Directors of Vodafone Idea approved a fundraise of up to Rs20,000 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 Rs45,000 Crores. The Company’s bank debt currently stands at less than Rs4,500 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.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
Comments
ArrayArray
Free Helpline
Legal Credit
Feedback