By Admin 
Vodafone Idea: New York equity firm Tillman Global Holdings (TGH) can invest $ 4-6 billion (about Rs 35,000-52,800 crore) in debt-ridden telecom company Vodafone Idea Ltd and take over its operational control. After this news came out, the shares of Vodafone Idea Ltd rose by 5 percent on Monday.
Investment dependent on relief package
According to the report of Economic Times, people familiar with the matter gave this information. However, this investment is dependent on the relief package given to the company by the Government of India, which includes AGR and spectrum related dues. With this, Vodafone Idea shares rose 5.26 percent to a high of Rs 9.19 on BSE today. The stock has gained 36.46 percent in the last three months.
Company will become promoter
Quoting a source, Economic Times reported that if this deal happens, TGH will take the status of promoter in the company and will take control from Aditya Birla Group and Vodafone’s UK unit. The government, which is currently the largest shareholder of the company with 49 percent stake, will remain a passive investor.
The Economic Times quoted a source as saying that if the deal goes through, TGH will take over as promoter and existing promoters Aditya Birla Group and the UK report also said that the New York-based investment firm is not seeking complete waiver of dues, but is seeking restructuring of liabilities to ease operations. TGH has submitted a detailed proposal of terms and conditions to the government.
Company under debt burden
If the government gives relief package to Vodafone Idea, then the deal will be finalized in a few months. Let us tell you that AGR of Rs 83,400 crore is outstanding on telecom company Vodafone Idea. The company has to pay about Rs 2 lakh crore towards interest and penalty. In such a situation, if there is no relief from the government, the company may go bankrupt.
Disclaimer: (The information provided here is being given for information only. It is important to mention here that investment in the market is subject to market risks. Always take expert advice before investing money as an investor. ABPLive.com never advises anyone to invest money here.)
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