Vodafone Idea Board To Decide On Rs 1,600 Cr Worth Debentures To ATC Telecom Infra

Telco major Vodafone Idea’s (VIL) board is all set to conduct a meeting to ruminate over a proposal to issue Rs 1,600 crore debentures to ATC Telecom Infrastructure. 

Earlier, VIL and ATC had decided to extend the last date to issue the optionally convertible debentures (OCD) till February 28 after the shareholder's approval to issue the debentures lapsed in December.

In a regulatory filing, VIL said, “[..] we wish to inform you that a meeting of the Board of Directors of the Company is scheduled to be held on Tuesday, 31st January, 2023, in relation to the said preferential issue of OCDs to ATC and to convene the Extraordinary General Meeting of the Company to seek approval of the shareholders in this regard.”

The debt-ridden telco’s shareholders resolution to issue OCD had previously lapsed as OCDs could not be issued within the prescribed period of 15 days.

Previously in November, the VIL shareholders had approved the issuing of OCDs worth Rs 1,600 crore to ATC telecom Infrastructure on a preferential basis to settle dues of the infrastructure vendor by converting the due amount into equity, if the amount remained unpaid in 18 months.

VIL’s OCD issue for ATC was subject to certain conditions, including the approval of the government.