Rs 1,500 cr! Vodafone Idea raise first debt after incorporation

Telecom major Vodafone Idea Limited Monday raised Rs 1,500 crore fund through non-convertible debentures on private placement basis - first debt after its incorporation.

“The Securities Allotment Committee have at their meeting held on September 3, 2018, allotted 15,000 unsecured redeemable non-convertible debentures aggregating to Rs 1,500 crore on private placement basis,” Vodafone Idea said.

The NCDs have maturity period of 5 years and have been offered at interest rate of 10.9% per annum.

Idea Cellular Ltd and Vodafone Plc on last Friday announced completion of the $23.2 billion (approximately Rs 1.6 lakh crore) merger of their India operations to create the country’s largest telecom operator to take on competition from Reliance Jio.

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The merged entity, called Vodafone Idea Ltd, will has a subscriber base of over 40.8 crore and a market share of over 35%, overtaking Bharti Airtel to take numero uno spot.