The board of Vodafone Idea Ltd. approved the issue price of Rs 11 per share for its Rs 18,000-crore follow on public offer.
The FPO issue was subscribed 6.36 times with qualified institutional buyers leading with subscription of 17.56 times, according to the exchanges.
The face value of the equity shares is Rs 10 each.
Vodafone Idea had mopped up close to Rs 5,400 crore from anchor investors. Marquee investors include GQG Partners, Fidelity Investments, Australian Super, UBS Fund Management and Redwheel Fund. The telecom major allotted 490.9 crore shares at Rs 11 apiece to 74 anchor investors.
After the equity fundraise, Vodafone Idea is likely to witness an overall dilution of 26%, according to calculations by NDTV Profit.
The company's board also approved raising Rs 2,075 crore from promoter Aditya Birla Group and increasing its authorised share capital to Rs 1 lakh crore.
Use Of Proceeds
The company plans to use Rs 12,750 crore from the FPO proceeds to expand its 4G network and towards launch of 5G services and further capex.
About Rs 2,175 crore will be used for the payment of certain deferred payments for spectrum to the department of telecommunication and other dues.
Shares of Vodafone Idea closed flat at Rs 12.90 per share on Monday, compared with gain of 0.86% in the benchmark Nifty 50.
RECOMMENDED FOR YOU
Vodafone Idea Share Price Drops To Over One-Year Low After Goldman Sachs Cuts Forecasts
Nov 21, 2024
Nifty In Technical Charts: Oversold But No Evidence Of Reversal Yet
Nov 17, 2024
.jpg?rect=0%2C0%2C3500%2C1969&w=75)
Nifty In Technical Charts: Oversold But No Evidence Of Reversal Yet
Nov 16, 2024
Dixon Tech Share Price Tumbles Over 9% Despite Strong Q2 Earnings
Oct 25, 2024
POPULAR