Vodafone Idea soars 19% on Govt aid; stock a ‘high risk’ play, say analysts

Vodafone Idea (Vi) shares skyrocketed on Tuesday, hitting an intraday high of ₹8.57 (up 25.8 per cent) on the BSE, as the government’s decision to convert the debt-laden telecommunications provider’s outstanding spectrum auction dues into equity calmed investor nerves.

According to its exchange filing, the company has been directed to issue 36.95 billion equity shares to the Government of India, with a face value of ₹10 each at an issue price of ₹10 per share, within 30 days of receiving necessary approvals from relevant authorities, including the Securities and Exchange Board of India.