Govt to raise stake in Vodafone Idea to 48.99%, to convert spectrum auction dues into equity

Government of India's Ministry of Communications have decided to convert Vodafone Idea Ltd's outstanding spectrum auction dues into equity shares, increasing its stakeholding in the firm to 48.99 per cent, according to the exchange filing on Sunday, March 30.

“It is hereby informed that Ministry of Communications, Government of India has, in line with the September 2021 Reforms and Support Package for Telecom Sector has decided to convert the outstanding spectrum auction dues, including deferred dues repayable after expiry of the moratorium period, into equity shares to be issued to the Government of India under Section 62(4) of the Companies Act, 2013,” said Vodafone Idea in the BSE filing.

According to the filing data, ₹36,950 crore is set to be converted into 3,695 equity shares with a face value of ₹10 apiece. The government of India's stake in the telecom operator will increase from its current levels of 22.60 per cent to nearly 48.99 per cent after the issue of the equity shares.

“The total amount to be converted into equity shares is Rs. 36,950 Crore. The Company has been directed to issue 3,695 Crore equity shares of the face value of ₹10/- each at an issue price of ₹10/- each within a period of 30 days after issuance of necessary order from relevant authorities including from Securities and Exchange Board of India,” said Vodafone Idea.

Vodafone Idea Share Price

Vodafone Idea shares closed 1.73 per cent lower at ₹6.81 after Friday's stock market session on March 28, compared to ₹6.93 at the previous market close.

The stock is currently trading right above its 52-week low level at ₹6.60 on November 22, 2024, while the 52-week high level was at ₹19.15 on June 28, 2025, according to the BSE data.

Vodafone Idea shares have given stock market investors more tan 116 per cent returns in the last five years. However, the stock has lost 51.43 per cent in the last one-year period. On a year-to-date (YTD) basis, Vodafone Idea stock has lost 15.09 per cent in 2025.

Vodafone Idea shares jumped nearly 5 per cent on March 19 after the company announced the launch of its 5G services in Mumbai.

“With this rollout, Vodafone Idea is set to enhance mobile experience with widespread coverage at competitive pricing,” said the company in the exchange filing.

The company also plans to invest ₹50,000-55,000 crore over the next three years as it aims to expand its 4G network coverage area to reach 90 per cent of the Indian population.

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