Voda Idea rallies 30% on hopes of Amazon stake-buy

Mumbai: Vodafone Idea’s stock rallied 30% on Thursday on the back of reports that suggested retail major Amazon and wireless carrier Verizon were looking to invest over $4 billion in the struggling telecom services company.
The report came within days of the Supreme Court saying that Vodafone and its competitor Bharti Airtel will get 10 years to pay their legacy dues, known as AGR dues. Vodafone has to pay Rs 50,000 crore through yearly instalments, plus the accrued interest. According to analysts, the SC verdict was comparatively positive for Bharti and negative for Vodafone.
Soon after the verdict on Tuesday, Vodafone stock had lost more than 10% but recovered some of the lost ground to close 6% lower. On Thursday, the stake-buy reports helped the stock on the BSE rally up to 30% to Rs 12.9 but closed lower Rs 12.6, up 27% on the day. The telco has a market cap of nearly Rs 36,100 crore.