Vodafone Idea slumps 21% in opening trade on insolvency reports
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New Delhi, Nov. 14 -- Shares of Vodafone Idea Ltd on Thursday slumped nearly 21% at open after reports suggested that the Aditya Birla Group will not infuse any fresh equity in the telecom operator and may let it go insolvent if government does not help. The stock plummeted 21.6% to Rs.2.90 a share. At 9.45am, the stock traded at Rs.3.02 on BSE, down 18.4% from its previous close.
Last month, the Supreme Court ordered Vodafone Idea to pay $4 billion of fees in past dues upholding a government definition of gross revenue, from which licence fee and spectrum payments made by telecom operators are calculated.
The troubled telecom company had a debt of around Rs.1 trillion as of June end. It reported a net loss for the fourth consecutive qu...
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