CARE revises outlook for Vodafone Idea’s long-term bank facilities to ‘positive’ on improving prospects

NEW DELHI: CARE Ratings on Friday revised the outlook for Vodafone Idea’s (Vi) long-term bank facilities from the present ‘stable’ to ‘positive’ while retaining the ‘BBB-’ rating, on adjusted gross revenue (AGR) dues relief, conclusion of the CLAM settlement, and a mega ₹45,000 crore capital expenditure plan for the next three years.

“Revision of the outlook to ‘Positive’, while reaffirming the rating assigned to the long-term bank facilities, follows the announcement on adjusted gross revenue (AGR) relief by the Department of Telecommunication (DoT), which strengthens VIL’s long-term debt tie-up prospects in accelerating network capex investments, thus enabling improvement in its operating performance,” the ratings agency explained in a note.