Vodafone Idea’s Soaring Stock: 106% Surge in a Year

Shares of Vodafone Idea Ltd (VIL) have given multi-bagger returns in the past year. On Tuesday, March 5, 2024, Vodafone Idea stock was trading 1.06% higher at ₹14.35. At this price, it has increased 106.47% in a year.

In an exchange filing, the telecom operator mentioned that they had received an order under the Central Goods and Services Tax Act, 2017, imposing a penalty of around ₹44.05 lakh. Regarding this, the company stated that they do not agree with the order and will take appropriate actions for rectification/reversal of the same.

Plans To Raise Funds

Recently, Vodafone Idea Ltd announced its plan to raise around ₹45,000 crore through a combination of equity and debt. The company’s board has also approved equity fundraising of up to ₹20,000 crore. The telecom service provider has scheduled an Extraordinary General Meeting (EGM) on April 2, 2024. The fundraiser will be conducted post-shareholder approval in the meeting.

According to Vodafone Idea Ltd, equity and debt fundraising will help them make investments towards significant expansion of 4G coverage, 5G network rollout, and capacity expansion. Also, the telecom provider is planning to roll out their 5G services within 6-7 months after the fundraiser.

It is to be noted that on Monday, March 4, 2024, Vodafone Idea Ltd also launched its eSim services for prepaid users in Mumbai. The eSim services will be available for both Android and iOS users and compatible with smartphones and smartwatches.

Overall, regarding the Vodafone Idea Limited stock, technical analysts mainly recommended that the counter looked ‘bullish’ on daily charts. They also say that immediate support could be seen at ₹13.4-13.3 levels.

About Vodafone Idea Limited

Vodafone Idea Limited is popular and one of the leading telecom service providers in India. They are involved in the business of mobility and long-distance services, trading of handsets and data cards. The company is a merger of 2 telecom giants, Vodafone and Idea Cellular, in 2018 and rebranded as ‘Vi’ in 2020.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.