Vodafone Idea Ltd. is planning to launch a follow-on public offering next week to raise as much as Rs 20,000 crore, according to people aware of the development.
The cash-strapped telecom operator has finalised anchor investors, the people said without providing the further details regarding the anchor investors.
The Aditya Birla Group’s telecom operator is planning to use the funds raised through FPOs largely for infrastructure investments, the people added.
Once the fund raise is concluded, the telecom operator intends to conduct an extensive restructuring of its operations.
These moves will help the telecom operator boost its revenue from Rs 40,000 crore currently to nearly Rs 75,000 crore by March 2026.
Vodafone Idea Ltd. is planning to launch a follow-on public offering next week to raise as much as Rs 20,000 crore, according to people aware of the development. The cash-strapped telecom operator has finalised anchor investors, the people said without providing the further details regarding the anchor investors. The investors likely involve private equity funds. The Aditya Birla Group’s telecom operator is planning to use the funds raised through FPOs largely for infrastructure investments, the people added.
Once the fund raise is concluded, the telecom operator intends to conduct an extensive restructuring of its operations. It also intends to raise tariffs over the current and the next financial year in a bid to improve revenue from operations, the company has promised prospective investors, the people quoted above said.
Moreover, Vodafone Idea is looking to move users from its 2G to 4G network. The company is also telling investors that it plans to raise tariffs by nearly 20-25% after the general elections and a second hike of a similar quantum is expected in the next year, according to the people mentioned above.
These moves will help the telecom operator boost its revenue from Rs 40,000 crore currently to nearly Rs 75,000 crore by March 2026.
