Supreme Court grants telcos 10 years to pay AGR dues, tough road ahead for Vodafone Idea

The Supreme Court on Monday chose to allow telecom companies 10 years to pay their remaining AGR dues to the government, with 10 per cent of the total to be paid before March 31, 2021. The keenly awaited verdict also removes the fog of uncertainty surrounding the telecom sector, and companies such as Vodafone Idea and Bharti Airtel can now plan finances around a staggered schedule instead of facing a very difficult one-shot payment requirement.

However, this relief is not equally fortuitous for all parties in question, and the way share prices behaved after the verdict show what investors think Bharti Airtel’s and Vodafone Idea’s prospects are.