Stocks

Vodafone Idea plummets over 9 per cent to hit 52-week low

PTI New Delhi | Updated on October 31, 2019 Published on October 31, 2019

Shares of Vodafone Idea on Thursday fell over 9 per cent in early trade after Care downgraded its rating citing the recent Supreme Court ruling on adjusted gross revenue (AGR) issue.

Shares of the telecom operator slumped 8.66 per cent to Rs 3.48 apiece - its 52-week low - on the Bombay Stock Exchange (BSE).

Similarly, the stock declined 9.2 per cent to Rs 3.45 on the National Stock Exchange (NSE).

Vodafone Idea had on Wednesday said Care Ratings has downgraded its rating on ‘long-term bank facilities’ and non-convertible debentures’, citing the recent court ruling on the AGR, and extension of timelines with regard to sale of Indus Tower stake to Bharti lnfratel.

Read: Supreme Court ruling on AGR may prove a death blow for telcos

According to the telecom department’s initial calculations, Vodafone Idea may have to pay about Rs 40,000 crore, while Bharti Airtel faces a liability of around Rs 42,000 crore (including licence fees and spectrum usage charges).

Published on October 31, 2019
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