Vodafone Idea to raise Rs 1,600 cr debt from vendor ATC
时间:2024-06-25 14:26:32 阅读(143)
Loss-making telecom operator Vodafone Idea on Friday said it has received board nod to settle Rs 1,600 crore dues to equipment vendor ATC Telecom Infrastructure Ltd by converting the due amount into equity if unpaid in 18 months.
Vodafone Idea (VIL) will raise the amount through equity convertible debt bonds that carry a coupon rate of 11.2 per cent per annum payable every six months during its term.
VIL said that the funds raised will be used to pay ATC amounts owed to ATC by the company under the master lease agreements and for general corporate purposes of the company.
Also Read: Reliance to demerge financial services unit; to list Jio Financial Services
The maximum term of OCD is 18 months from the date of issue and allotment of the first tranche of OCDs.
The OCDs provide options to investors to convert the debt into equity in case of non-payment of dues and interest within stipulated timelines.
VIL said that “the preferential issue would be subject to certain conditions precedent, including inter alia the approval of the shareholders of the Company and the Government of India having converted the interest from deferment of Adjusted Gross Revenue and spectrum dues owed by the Company”.
VIL has opted for converting about Rs 16,000 crore of interest liability payable to the government into equity, which will amount to around 33 per cent stake in the company while promoters’ holding will come down from 74.99 per cent to 50 per cent.
The government has given telecom operators an option of paying the interest for four years of deferment on the deferred spectrum instalments and AGR (adjusted gross revenue) dues by way of conversion into equity of the NPV of such interest amount.
The government is yet to convert the debt into equity and is waiting for the share price of VIL to stabilise at Rs 10.
VIL board also approved the convening of an Extraordinary General Meeting of the company on November 21 to seek approval of shareholders for the aforesaid preferential issue.
The company’s total gross debt, excluding lease liabilities and including interest accrued but not due, as of September 30, 2021, stood at Rs 1,94,780 crore.
The amount comprises deferred spectrum payment obligations of Rs 1,08,610 crore, AGR liability of Rs 63,400 crore that is due to the government and debt from banks and financial institutions of Rs 22,770 crore as of January 11, 2022 — when it offered conversion of interest liability into equity.
At the end of the April-June 2022 quarter, VIL’s total gross debt (excluding lease liabilities and including interest accrued but not due) stood at Rs 1,99,080 crore, comprising deferred spectrum payment obligations of Rs 1,16,600 crore, AGR liabilities of Rs 67,270 crore that are due to the government, and debt from banks and financial institutions of Rs 15,200 crore.
猜你喜欢
- FE Exclusive - New Delhi Railway Station’s redevelopment takes bold turn! Indian Railways to forge massive road network, reveals Ashwini Vaishnaw
- F&O expiry- Nifty to trade in 17000-17300 range, Bank Nifty support at 34500; use Nifty Bear Put Spread
- Adani Enterprises share price jumps 15% today, hits upper circuit; group stocks m-cap back above Rs 10 lakh cr
- F&O watch- Nifty support at 15,700-15,800 for weekly expiry; remain cautious at higher levels in Bank Nifty
- Adani Group, Ambuja Cement, Yes Bank, IndusInd Bank, Dilip Buildcon, Zydus, JSW Steel stocks in focus
- A Tech Driven Approach for Improving Dairy Farm Profitability
- Bond yields seen tad lower on marginal borrowing cut; RBI decision key
- Bharat Highways InvIT files draft papers with Sebi to raise Rs 2,000 crore via IPO
- FDA allows imports of syphilis drug alternate during shortage