Idea Cellular has been given the board's approval to raise Rs. 3,250 crores from promoter group entities in today's meeting.
The board approved issuing Rs. 32.66 crore preferential shares at Rs 99.50 a piece to all or any of Birla TMT Holdings Pvt Ltd., Elaine Investments Singapore, Oriana Investments Singapore, Surya Kiran Investments Singapore. The telecom operator to also set up a panel to consider options to raise an additional Rs. 3,500 crore via a preferential issue, a qualified institutional placement or a rights issue.
The sale of Idea's standalone towers sale to ATC, its potential monetisation of its 11.15 percent stake in Indus Towers Ltd. and proposed fundraising will supplement its long-term capital resources, the company said. It would strengthen the balance sheet of the merged entity, Vodafone India. The merger is expected to be completed this year.
Its share price raised by 2.78% to Rs. 105.55.