The Vodafone Idea Board authorizes procurement of up to ₹14,500 crore

Debt-plagued telecoms operator Vodafone Idea announced on Thursday that its board has approved raising up to £14,500 crore, including £4,500 crore from project promoters.

An amount of ₹10,000 crore would be raised through the sale of equity or through debt instruments such as ADRs, GDRs and FCCBs.

In a regulatory filing, the company said the Board has authorized the issuance of up to 338.3 million shares of par value £10 each at an issue price of £13.30 per share for aggregate consideration of up to £4,500 million.

These shares will be sold to Euro Pacific Securities Ltd. and Prime Metals Ltd. (Units of Vodafone Group and Promoter of the Company) and Oriana Investments Pte. ltd (an Aditya Birla Group company) on a preferential basis, the filing said.

In addition, the Board has authorized the issuance of shares or securities convertible into shares, among other instruments, to raise up to ₹10,000 crore.

The Company will also consider whether the amount can be increased through Global Depository Receipts (GDRs), American Depository Receipts (ADRs), Foreign Currency Convertible Bonds (FCCBs), convertible debentures, warrants, compound issuance of non-convertible debentures and warrants.

Such fundraising would be through a private placement, placement with qualifying institutions, or any other eligible method in one or more tranches, the filing states.

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