Vodafone Idea struggles as government denies further equity conversion
Vodafone Idea (VI) is facing a rocky road ahead after the government decided not to convert any more of its dues into company shares. The Centre already owns 48.99% of VI, thanks to an earlier ₹36,950 crore conversion, but now VI has to pay off what it owes in six installments starting this year—raising big questions about how long the company can keep going.
VI will need over ₹25,000 crore soon just to...
The government might stretch out VI's payment schedule for its adjusted gross revenue (AGR) dues from six years to 20, which could help a bit. Still, with only ₹9,930 crore in cash as of March and plans to raise another ₹20,000 crore just to stay afloat, analysts say VI will need loans over ₹25,000 crore soon just to cover upcoming bills—including spectrum charges and other dues through next year. Even with extra time, it's unclear if VI can stick around past 2028-29 without major changes.