Vodafone Sells Stake in Indus Towers: Clearing Debts and Strengthening Vi

Vodafone is selling its 3% stake in Indus Towers to clear a debt of USD 101 million and use the remaining proceeds to address Vodafone Idea's outstanding dues. The transaction, valued at Rs 2,841 crore, will reduce Vodafone's stake in Indus Towers to less than 1%.

British telecom giant Vodafone is set to sell a 3% stake in Indus Towers to address its USD 101 million debt, equivalent to roughly Rs 856 crore. The remaining funds from the sale will be directed towards paying off Vodafone Idea's outstanding dues.

The sale is valued at approximately Rs 2,841 crore, based on Indus Towers' stock closing price of Rs 358.75 per share on the BSE as of Wednesday. A regulatory filing from Vodafone detailed this accelerated book build offering.

This transaction will see Vodafone's stake in Indus Towers dip to below 1%. The proceeds from this placing will first repay Vodafone's debt and then support Vodafone Idea's potential future equity issuance, ultimately helping to settle its Master Services Agreements with Indus Towers.

(With inputs from agencies.)