Vodafone Idea shares gained nearly 4 percent in trade after its subsidiary raised Rs 3,300 crore through Non-Convertible Debentures (NCDs), signalling improved market confidence in the telecom operator.
The fundraise was carried out by Vodafone Idea Telecom Infrastructure Limited, a wholly owned arm of the company. The NCDs, which are unlisted, unsecured and unrated, saw strong demand from institutional investors, including NBFCs, alternative investment funds and foreign investors, indicating healthy appetite despite the company’s financial challenges.
According to regulatory disclosures, the money raised will be used by the subsidiary to meet its payment obligations to Vodafone Idea, helping the parent company strengthen liquidity. The improved cash position is expected to support capital expenditure and network expansion, which remain critical for improving service quality and competitiveness.
Market participants view the successful bond issue as a positive step in Vodafone Idea’s ongoing efforts to stabilise operations and strengthen its balance sheet, leading to renewed buying interest in the stock.
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