Vodafone Idea jumps 2% on plans to raise Rs 2,458 crore equity from Nokia, Ericsson

The share price of Vodafone Idea jumps 2% to intra-day high of Rs 16.38 after the company announced plans to raise up to Rs 2,458 crore through a preferential share issue to its European equipment vendors Nokia and Ericsson. This move aims to clear a portion of their pending dues and support the telco’s expansion of 4G services and rollout of 5G technology.

In a statement on Thursday, VIL’s board of directors approved a preferential allotment of 1.66 billion equity shares at Rs 14.80 per share. Nokia of Finland will invest up to Rs 1,520 crore, while Ericsson of Sweden will invest up to Rs 938 crore.