The Board of Directors of Idea Cellular Limited (Idea) have approved issuance of 3.26 million equity at a price of Rs. 99.50 to the promoter group entities of Birla TMT Holdings Private Limited, Elaine Investments Pte. Ltd., Oriana Investments Pte. Ltd. and Surya Kiran Investments Pte. Ltd. The aggregate capital infusion is expected to be of Rs. 32,500 million. The issue will be completed by early February, 2018, post which the shareholding of Promoter group in Idea will increase to 47.2% from existing level of 42.4%. The proposed capital raising along with recent announcement of Idea’s standalone towers sale to ATC and the potential monetization of Idea’s 11.15% stake in Indus Towers will augment long term capital resources of the company.
Kumar Mangalam Birla, Chairman, Idea Cellular Limited said, “At a time when the telecom industry is going through a challenging environment, this equity infusion by the Group in Idea is another step towards reinforcing the group’s commitment.”