Wednesday, December 31, 2025: Vodafone Idea Ltd on Tuesday clarified to stock exchanges that it has not received any official communication from the government regarding reports suggesting that the Union Cabinet has approved the freezing of its adjusted gross revenue (AGR) dues worth Rs 87,695 crore.
In a regulatory filing issued under Regulation 30 of SEBI Listing Regulations, Vodafone Idea said the clarification was in response to media reports claiming that the Cabinet had frozen the telco’s AGR dues, following which the stock witnessed sharp intraday volatility. The company stated that no formal intimation has been received from the government and that it would make appropriate disclosures if and when any development requiring disclosure occurs.
This clarification comes amid widespread reports earlier in the day suggesting that the Cabinet had approved a five-year interest-free moratorium on Vodafone Idea’s AGR payments and rescheduled dues over FY32–FY41. However, there was no mention of Vodafone Idea’s AGR relief package in the official Cabinet briefing. Union minister Ashwini Vaishnaw also declined to respond to queries under “any other” Cabinet decisions, adding to the uncertainty around the reported relief.
Stock reaction and earlier context
Shares of Vodafone Idea saw extreme swings during Wednesday’s session. The stock had initially moved higher on hopes of a Cabinet-approved relief package but later tumbled sharply from the day’s highs, falling below its Follow-on Public Offer price of Rs 11. At one point, the stock was down as much as 15–16% from intraday highs, with traders citing profit booking and lack of official confirmation as key reasons for the fall.
Vodafone Idea has been under severe financial stress, with AGR liabilities of around Rs 83,400 crore and annual payments of nearly Rs 18,000 crore scheduled from March 2025. The government became the company’s largest shareholder earlier this year after converting Rs 36,950 crore of dues into equity, raising its stake to nearly 49%.
While the Supreme Court recently allowed a comprehensive reassessment of Vodafone Idea’s dues up to FY17, the company’s latest clarification underscores that no formal Cabinet approval or government communication has yet been conveyed on freezing or restructuring AGR dues.
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