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Vodafone Idea to Issue Shares Worth Rs 2458 Crore to Ericsson India and Nokia Solutions
By GeoSquare News Desk · Published 2024-06-14
Vodafone Idea, one of India's leading telecom operators, has approved the issuance of shares worth up to Rs 2458 crore on a preferential basis. The shares will be issued to Ericsson India and Nokia Solutions and Networks India.
The transaction involves the issuance of up to 166.08 crore fully paid-up equity shares of face value of Rs 10 each in one or more tranches. Of this, up to 102.70 crore equity shares will be issued to Nokia Solutions and Networks India Private Limited, a non-promoter of the company, at an issue price of Rs 14.80 per equity share, amounting to Rs 1520 crore.
Ericsson India Private Limited, a non-promoter, will be issued up to 63.37 crore equity shares of face value of Rs 10 each at an issue price of Rs 14.80 per equity share, amounting to Rs 938 crore.
The board has also approved the convening of an extraordinary general meeting of the company on July 10, 2024, to approve the above matters.
Nokia and Ericsson both have a long-term partnership with VIL, as key suppliers of network equipment, and this preferential allotment will enable VIL to clear part of their outstanding dues. It further bolsters VIL's capex rollout for building a top-quality 4G and 5G network to contribute towards India's digital transformation.
Vodafone Idea Limited (VIL) is an Indian telecom operator that provides a range of services, including voice, data, and digital services. The company is a merger of Vodafone India and Idea Cellular.
Nokia Solutions and Networks India Private Limited is a leading provider of network infrastructure and services.
Ericsson India Private Limited is a leading provider of network infrastructure and services.
Vodafone Idea Limited is a leading Indian telecom operator that provides a range of services, including voice, data, and digital services. The company is a merger of Vodafone India and Idea Cellular.
Nokia Solutions and Networks India Private Limited is a leading provider of network infrastructure and services.
Ericsson India Private Limited is a leading provider of network infrastructure and services.