Vodafone Idea to raise Rs 436 crore from Vodafone Group

Vodafone Idea, jointly promoted by Vodafone Group and the Aditya Birla Group, will raise Rs 436.21 crore from its UK parent at Rs. 10.20 a unit, as the cash-strapped telecom operator aims to mop up all the funds it could to invest in its network and prepare for the upcoming spectrum auctions.

In a filing to the Bombay Stock Exchange, the loss making telco said that its board had approved the fund raising “by way of issuance of either: (a) up to 42,76,56,421 Equity Shares of the face value of Rs. 10/- each; or (b) up to 42,76,56,421 Warrants convertible into Equity Shares, to Euro Pacific Securities Ltd. (a Vodafone Group entity and promoter of the Company), on a preferential basis”.