Vodafone Idea board has approved fund-raising to tune of Rs 25,000 crore through a rights issue, telecom firm said on Wednesday.
Promoters of company, including Vodafone Group and Aditya Birla Group, intended to contribute up to Rs 11,000 crore and Rs 7,250 crore, respectively, as part of such rights issue.
Further, promoter shareholders have indicated that in case rights issue is undersubscribed, each of promoter shareholders reserves right to subscribe to part or whole amount of unsubscribed portion, subject to applicable law, company said in a release.For purpose of giving effect to rights issue, board has authorised Capital Raising Committee to decide terms and conditions, including instrument, issue price, rights entitlement ratio, record date, timing and other related matters.Shares of company closed 1.49 per cent down at Rs 33.95 on Wednesday while BSE Sensex settled lower by 336 points, or 0.92 per cent, at 36,108.