Explained: Why Vodafone Idea shares plunged over 10% in a single day

NEW DELHI: Shares of cash-strapped telecom major Vodafone Idea on Tuesday nosedived over 10 per cent during the day after reports that the group’s chairman has offered to hand over his shares in the company.

During the day, the stock plunged about 13.09 per cent to hit its 52-week low at Rs 7.17 on the BSE. It then rebounded a bit to close 10.3 per cent lower at Rs 7.4 on both the indices.

Unable to work out a revival for the ailing telecom company, chairman Kumar Mangalam Birla has offered to give up his stake to the government or any other entity that it deems fit.