Vodafone Idea finds some relief as Vodafone Group pays $200 mn under CLM terms

Vodafone Group on Wednesday said that it has accelerated a payment of $200 million to Vodafone Idea, which was due in September 2020 under the terms of the contingent liability mechanism with the Indian telecom operator.

The payment will provide Vodafone Idea with liquidity to manage its operations, and to support the around 300 million customers as well as the thousands employees during this phase of emergency health measures, taken as a result of the COVID-19 pandemic.

Following the decision by India’s Supreme Court on the definition of Adjusted Gross Revenue in October 2019, India’s telecoms operators became liable for licence fees, penalties and interest dating back over 14 years.