Emkay projects 44% downside for Vodafone Idea shares despite ₹87,695 crore AGR relief
The Union Cabinet’s decision to approve a relief package for Vodafone Idea (VI) that freezes a substantial portion of its adjusted gross revenue (AGR) dues, offering near-term cash-flow relief, falls short of the waiver that markets were anticipating, Emkay Global said in a note.
The brokerage, which has a sell rating and a target price of ₹6, implies a downside potential of over 44%. It indicated that the Cabinet has granted the company a five-year, interest-free moratorium on AGR dues pertaining to periods prior to FY18.
