Indian government to own 35.8% of Vodafone Idea

The Indian government will own 35.8% of Vodafone Idea Ltd. after the telco company's board of directors approved the conversion of dues and spectrum auction installments into equity, according to a Jan. 10 stock exchange filing.

The conversion includes spectrum auction installments due up to four years, excluding those related to the auction held in 2021, as well as dues related to adjusted gross revenues as set by the Supreme Court in a period of four years.

The government will hold the biggest stake in Vodafone Idea following the equity conversion, as Vodafone Group PLC's holding will be reduced to 28.5% and Aditya Birla Management Corp. Pvt. Ltd.'s stake will drop to 17.8%.

In September 2020, India's Supreme Court ordered telcos to pay about 1.4 trillion rupees in dues within 10 years.

As of Jan. 11, US$1 was equivalent to 73.77 Indian rupees.