Vodafone Idea needs to close fundraise soon to upgrade users to 4G

Notwithstanding the recent tariff hikes and moratorium relief, the struggling telecom player Vodafone Idea may have to close its Rs 10,000 crore fund raise plan from non-promoters to substantially enhance its capex to boost upgrade of users to 4G, according to analysts.

Vodafone Idea continues to lose its active subscribers over the last many months.

Vi’s active subscribers base dipped by 2.3 million in May, 2022, continuing the declining trend over the past many months due to the outsized churn in the lower ARPU segments given the entry level prepaid tariff hikes undertaken in July and November last year, according to analysts at JM Financial.