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Vodafone Idea shares explode 10% after surprise settlement and govt relief boost
Mumbai/IBNS: Shares of Vodafone Idea surged nearly 10 per cent on Thursday after the company reached a settlement with Vodafone Group over long-pending contingent liabilities arising from the 2017 merger of Vodafone India and Idea Cellular, media reports said.
Under the revised arrangement, Vodafone Idea is set to receive Rs 5,836 crore, of which Rs 2,307 crore will be paid in cash over the next one year.
In an exchange filing, the company said the remaining Rs 3,529 crore will be raised through the sale of equity shares held by certain Vodafone Group shareholders.
“We wish to inform 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 said in its regulatory filing, as quoted by Livemint.
The company further clarified that a portion of the contingent liability adjustment mechanism has been secured through the pledging of 328 crore equity shares by select Vodafone Group shareholders for a period of five years.
Meanwhile, the Union Cabinet on Wednesday approved a relief package for Vodafone Idea, freezing its Adjusted Gross Revenue (AGR) dues at Rs 87,695 crore and setting a revised repayment schedule spanning 10 years from FY32 to FY41, Livemint reported.
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