Vodafone group’s capital infusion into Voda Idea inadequate: Analysts

KOLKATA: Vodafone Group Plc’s $200 million (about Rs 1,530 crore) infusion into Vodafone IdeaNSE 0.00 % Limited (VIL) is grossly inadequate, according to analysts. The struggling telecom operator needs a hefty capital infusion from its promoters at the earliest to clear its massive adjusted gross revenue (AGR) dues and survive, they said.

The latest infusion from Vodafone UK, they said, is not even enough for VIL to make the necessary capital expenditure to maintain a competitive 4G network for countering Reliance Jio Infocomm and Bharti Airtel and holding on to its customers.

VIL faces AGR-based dues of Rs 58,254 crore, of which it paid Rs 6,854 crore to the Department of Telecommunications in three tranches last month.