Govt to convert interest dues to equity

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Govt to convert interest dues to equity

The telecom firm said on Friday that the government will convert Vodafone Idea's interest dues into equity. Vodafone Idea said on Friday that it had to issue shares worth Rs 16,133. 1 crore at an issue price of Rs 10 per share.

The telecom department had computed the net present value NPV on the interest on spectrum and adjusted gross revenue AGR on deferred statutory dues at Rs 16,133 last year. 1 crore.

The government had a 35.8% stake in the telco, according to the company's earlier estimate of 16,000 crore.

It is hereby informed that the Ministry of Communications, Government of India has passed an order today i.e. in line with the Reforms and Support Package for Telecom Sector communicated earlier and the conversion option exercised by the Company as provided for therein. On February 3rd, 2023, under section 62 4 of the Companies Act, 2013, the Company must convert the NPV of interest related to the deferment of spectrum auction instalments and AGR Dues into equity shares to be issued to the Government of India, said Vodafone Idea in a stock exchange filing on Friday.

The company is to issue 1613,31, 84,899 equity shares of the face value of Rs 10 each at an issue price of Rs 10 each.