As it seeks to ease its cash crunch and generating funds to meet upcoming liabilities, from the sale of its fixed-line broadband subsidiary, optic fibre unit along with the data centres businesses Vodafone Idea is hoping to raise to $1 billion which is around ₹7400 crores INR.
Towards a mix of adjusted gross revenue, spectrum dues and regular debt the telco needs to pay around ₹22,500 crores between December 21 and April 2022.
In the form of debt and equity, a planned fundraise of ₹25,000 crores was not been successfully concluded by the telecom company for which it has been trying for a couple of months despite several rounds of discussion with many investors.
Although the investors are wary of valuations around $800 million 2 $1 billion is expected from the sale of broadband data, centre sales and optical fibre by the company, as per the report quoting a source.
VI sells the fibre assets along with taking the capacity on long term lease from the buyers on a sale and leaseback model and the proposed sale is expected to happen on the same, as further said by the report.
After concerns raised over its survival amid continued loss due to lower tariffs, Post a consortium of lenders to the telecom sought the finance ministry’s interventions to provide some relief to it, VI has been in the headlines last week. A loss of ₹7000 crores for the January March quarter of the ongoing year has been reported by the company.