President of India-Backed Telecom Stock Under Rs 10 To Be In Focus On May 05; Here’s Why!
The company has a market capitalisation of over Rs 76,000 crore with the world’s largest outstanding shares of 1,08,34,30,35,001 shares.
Vodafone Idea Ltd and is made under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. It follows an earlier disclosure dated April 8, 2025, regarding the allotment of 36,95,00,00,000 equity shares to the Government of India. This allotment increased the Government of India's shareholding in the company from 22.60 per cent to 48.99 per cent.
The disclosure references a Shareholders’ Agreement dated March 20, 2017, involving certain Vodafone group companies and Aditya Birla group companies. These groups, identified as "Promoter Groups," held governance and management rights, contingent on maintaining at least 13 per cent of the company's equity share capital. However, following the equity share allotment to the Government of India, the shareholding of the Aditya Birla group companies and the Vodafone group companies now stands at 9.50 per cent and 16.07 per cent, respectively.
To ensure both Promoter Groups retain their governance and management rights, the Board of Directors, in their meeting on May 2, 2025, resolved to amend certain clauses of the Shareholders’ Agreement. This amendment modifies the "Qualifying Threshold" from 13 per cent to 10 per cent, disregarding the shares issued to the Government of India for this purpose. The Board also approved convening an extraordinary general meeting on Tuesday, June 3, 2025, to seek shareholder approval for amending the Articles of Association to reflect these changes. The key parties to the agreement include: Pilani Investment and Industries Corporation Limited, Hindalco Industries Limited, Grasim Industries Limited, Birla Group Holdings Private Limited, Elaine Investments Pte. Ltd., Oriana Investments Pte. Ltd., IGH Holdings Private Limited (representing Aditya Birla Group); Al-Amin Investments Limited, Asian Telecommunication Investments (Mauritius) Limited, CCII (Mauritius), Inc., Euro Pacific Securities Ltd, Vodafone Telecommunications (India) Limited, Mobilvest, Prime Metals Ltd, Trans Crystal Ltd, Omega Telecom Holdings Private Limited, Usha Martin Telematics Limited (representing Vodafone Group); Vodafone Idea Limited; Kumar Mangalam Birla (KMB); and Vodafone International Holdings B.V.
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About Vodafone Idea Ltd
Vodafone Idea Limited is amongst India’s leading telecom service providers. The company provides Pan-India Voice and Data services across 2G, 3G, 4G and 5G platforms. The company holds a large spectrum portfolio, including mid-band 5G spectrum in 17 circles and mm-Wave 5G spectrum in 16 circles. To support the growing demand for data and voice, the Company is committed to delivering delightful customer experiences and contributing towards creating a truly ‘Digital India’ by enabling millions of citizens to connect and build a better tomorrow.
The Company is developing infrastructure to introduce newer and smarter technologies, making both retail and enterprise customers future-ready with innovative offerings, conveniently accessible through an ecosystem of digital channels as well as extensive on-ground presence.
The company has a market capitalisation of over Rs 76,000 crore with the world’s largest outstanding shares of 1,08,34,30,35,001 shares. The company's majority of stake, i.e., 49 per cent, is owned by the Government of India (Department of Investment and Public Asset Management).
Disclaimer: The article is for informational purposes only and not investment advice.