Kolkata: The Capital increase panel of the Vodafone idea (Vi) board has approved the allocation of shares to a Aditya Birla Group (ABG) entity that has injected Rs 2,075 crore of fresh capital ended up in the telecom sector through a preferential issue.
“…the Capital Raising Committee of the Board of Directors at its meeting held on May 21 approved allotment 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 a premium of Rs 4.87). per equity share), amounting to Rs 2,075 crore to Oriana Investments Pte Ltd (a ABG entity who are part of the promoter group) on a preferential basis,” Vi said in an exchange filing on Tuesday.
It added that pursuant to the allotment, Vi's paid-up share capital increased from Rs 66,483.45 crore to Rs 67,878.88 crore.
The allotment of shares to the ABG entity completes Vi's fundraising of Rs 20,000 crore through the equity route and paves the way for the telco to borrow another Rs 25,000 crore from banks and additional non-fund-based facilities of as much as Rs 10,000 to set up. crore.
Vi's CEO Akshaya Moondra recently said that the targeted funding of Rs 50,000-55,000 crore through a combination of equity and debt over the next three years will be used as capex to boost the telecom companies 4G coverageincrease 4G capacity and start greenfield rollout of 5G in key markets.
Vi shares rose 2.18% to Rs 13.58 on Tuesday afternoon.
