What is happening with #IDEA ?

The stock is currently trading at Rs. 8.57 per share and has remained under Rs. 10 since April. In terms of customers, VI has ~260.7 Mn customers compared to market leaders Jio’s ~404 Mn and #BHARTIARTL ~360 Mn customers.

🌟 Why isn’t the stock price rising?

➡️ Loaded in debt- The company’s total debt stands at over Rs 1,92,000 crores and is said that it is looking to raise additional capital through debt.
➡️ Deferred Payments- Interest on AGRs and spectrum dues have been deferred by over four years for now.

🌟 What are the steps taken now to revive the company?

➡️ Government Intervention: By the option taken in January, the government would have taken up around 33% equity in the company by paying up spectrum dues worth over Rs. 16,000 crores.

But not everything is going right for the company as conditions imposed by the government in a recent meeting indicate that the promoters (Vodaphone, Aditya Birla and the Idea group) must infuse more funds into the business for government to take up equity in the company.

Could the company be revived? What do you think?

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