Vodafone Idea shares gain 4% courtesy this major update on 5G roll out

NSE

he company had completed the rollout obligation with a penalty of about

₹

1 crore.

Shares of Vodafone Idea Ltd. are trading 4% higher in trade Friday, making a day's high of ₹17.25. This was after a report said the telecom service provider had completed its 5G rollout obligation in all circles.The company has a 5G spectrum in 17 circles. Vodafone Idea has completed the rollout obligation in both spectrum bands, sources have confirmed to CNBC Awaaz.The company got network testing done by the Department of Telecommunications in both spectrum bands.The sources said tIt is mandatory to carry out rollout obligations according to the terms of the licence. An action could have been taken against the company if the rollout was not completed as per the terms.Vodafone Idea's 5G spectrum could have been cancelled. The company had a deadline of August 15, 2024.The telco recently raised ₹18,000 crore through the country's largest Follow-on Public Offer (FPO) and another ₹2,075 crore through a promoter group entity, thereby completing its ₹20,000 crore equity fundraising exercise. It also said that talks are ongoing to tie up debt funding to the tune of ₹25,000 crore.The company also recently issued equity shares to its vendors Nokia and Ericsson to clear some of their past dues worth ₹2,458 crore.The stock of Vodafone Idea is currently trading 3.87% higher at ₹17.17. With today's surge, the stock has turned positive for the year. Vodafone Idea shares have risen 120% over the last 12 months.