Promoters committed to ₹2k cr worth of investments: Vi CEO

livemint.com:

Vodafone Idea (Vi) expects to finalize its equity funding discussions by the end of this quarter, the telecom operator's chief executive Akshaya Moondra said during the earnings call on Monday. Moondra noted the commitment from promoters to put in ₹2,000 crore remains firm. This might be concurrent with investments from external equity parties.

The telecom operator recently met its spectrum dues using bank financing, scheduled for repayment by March 2024. “I would expect that we should be able to conclude these discussions which are relating to the equity invested in this quarter," the chief executive said. Moondra said that the company had received a commitment letter from promoters for ₹2,000 crore last quarter, but was yet to receive contributions.

The company then had resorted to bank funding to bridge previous financial gaps. "The promoters’ commitment is there, they have said that they will support as and when required and we expect that this supporter contribution should also come alongside the tie up with external investors," he added. The Aditya Birla Group-promoted telecom operator, now with the Indian government as its largest shareholder, has been trying to secure ₹20,000 crore through debt and equity from external investors.

Moondra, in June's earnings call, had mentioned negotiations with three distinct parties aiming for a wrap-up by December 2023. In September, Vodafone Idea said that its promoters had readied ₹2,000 crore if required for payment of 5G spectrum installment that was due in August. Moondra said that the third-largest carrier has been engaging with network vendors to finalize its deployment plan, and that any notable capital expenditure for the same will follow after funding assurances.