Vodafone Idea: Following the receipt of Rs 5,836 crore in financial support shares rose 9% in a single day
Vodafone Idea: On Thursday, January 1, Vodafone Idea’s (Vi) shares increased by more than 9% after the telecom operator’s announcement of a promoter-led capital injection of around ₹5,836 crore, which was intended to improve its balance sheet and reduce liquidity strain. An exchange filing states that ₹2,307 crore would be brought in as cash over the next 12 months as part of the infusion mechanism. Through the sale of equity shares owned by certain Vodafone Group shareholders, the promoters will raise the remaining ₹3,529 crore. At a board meeting on Wednesday, December 31, 2025, the decision was adopted.
As stated in its regulatory filing, Vodafone Idea stated, “We would like to notify you that the company has reached an agreement with the Vodafone Group and entered into an amendment agreement dated December 31, 2025, to the Implementation Agreement dated March 20, 2017, as amended with its promoter/promoter group shareholders.” Vodafone Idea shares rose as much as 9.57% to an intraday high of ₹11.79 per share after the news.
Despite a Cabinet resolution to halt recovery of the company’s adjusted gross revenue (AGR) dues of ₹87,695 crore, Vodafone Idea shares fell over 15% the day before, shocking investors. Participants in the market had anticipated that the action would stabilize the stock and provide more robust relief. Instead of completely waiving AGR dues, the Cabinet’s decision only comprises a temporary freeze. Although it does not remove the debt, this halt gives Vodafone Idea more time to manage cash flows, make wise investments, and prevent an early default.
The Union Cabinet has agreed a relief package that would allow Vodafone Idea’s AGR dues, which were suspended as of December 31, to be paid over a ten-year period from FY32 to FY41, according to a PTI report that cited sources. During this time, the telecom department will reevaluate the dues. According to the study, AGR dues for FY18 and FY19 would be paid between FY26 and FY31, with the current conditions of payment remaining unchanged. With yearly payments of around ₹18,000 crore due starting in March 2025, Vodafone Idea presently owes approximately ₹83,400 crore in AGR dues.
Vodafone Idea is still facing significant financial difficulties in spite of recent rescue efforts. Since banks are still hesitant to provide credit because of its shaky balance sheet, the indebted operator has repeatedly warned that it cannot continue to operate without new financing help.In India, Vodafone Idea employs more than 18,000 people and provides service to about 198 million customers.