Dismissal of plea on re-computation of AGR dues body blow for debt-laden VIL, say analysts

The dismissal of telcos’ plea by the Supreme Court on re-computation of AGR-related dues may deal a body blow to the troubled Vodafone Idea, whose balance sheet situation is ‘precarious’, analysts said on Friday. Vodafone Idea (VIL) would be the “most adversely impacted” by the latest development, followed by Indus Towers (indirectly) while Bharti Airtel NSE 0.29 % remains relatively better placed, Citi said in its note.

Edelweiss, in its report, wondered if a telco duopoly is “on the cards”, in absence of VIL’s capital-raising and tariff hike.