Vodafone Group, Aditya Birla may dilute their stake in Vodafone Idea as telco eyes fundraising: Report

Vodafone Group Plc and Aditya Birla Group may dilute their stake in Vodafone Idea Limited (VIL) if a strategic investor shows interest in taking control of the debt-laden telco, Hindustan Times reported citing two people familiar with the internal discussions.

UK-based Vodafone Group Plc holds a 45% stake in the company while the Indian promoter group comprising Kumar Manglam Birla and Aditya Birla Group companies holds a 26% stake.

“The two promoter groups are open to the option of doing away with a majority stake or transfer control,” the first person informed the publication and added that this option will be considered only if the foreign investors agree to pay a premium over Vodafone Idea’s current market price so that the company gets adequate funding to repay the telco’s dues.