British telecom giant Vodafone has increased its stake in its struggling Indian arm Vodafone Idea from 44.39% to 47.61% through its subsidiary Prime Metals and Euro Pacific Securities. The company allotted 3.38bn shares at INR 13.3/share (including a premium of INR 3.3/share) to the promotor and promotor group entities for a total amount INR 45bn ($ 600mn). In March 2022, the company had announced that it plans to raise INR 140bn ($1.85bn) of which INR 45bn ($600mn) would be raised by promotor equity infusion and the remaining INR 100bn ($1.35bn) via various other ways such as equity shares or convertible securities, foreign currency convertible bonds (FCCB), convertible debentures, warrants, composite issue of non-convertible debentures and warrants.

As of December 2021, Vodafone Idea had total gross debt of ~INR 2tn, ($ 26.4bn) comprising deferred spectrum payment obligations of INR 1.1tn ($14.8bn), adjusted gross revenue liabilities of INR 646bn ($8.6bn) due to the government and debt from banks and financial institutions of INR 231bn ($3.1bn). Cash & cash equivalents were only at INR 15bn ($ 200mn) and net debt stood at INR 1.98tn ($26.2bn).

Vodafone Group’s dollar bonds were lower – its 1.231% 2024 were down 0.17 points to 100.71 and yielding 0.85%.

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