India's third-largest telecom operator Vodafone Idea (Vi) has secured a 10-year breather on adjusted gross revenue (AGR) payments from the Department of Telecommunications (DoT). This is expected to ease pressure on its balance sheet and enable the company to raise bank debt for capital expenditure.
Kapoor, who joined Vodafone a year back from Cairn India, resigned citing family commitments, Vodafone India said in a statement.
The Department of Telecom, Department of Industrial Policy and Promotion, Ministry of Home Affairs, Ministry of External Affairs and the Department of Economic Affairs had to give their comments on the proposal, sources said.
The Vodafone India head said hope is high now with the new government coming with a strong mandate and he is sure that the new government will quickly start to address some of the blocking factors for stronger economic growth.
Vodafone India revenues, which includes standalone, its subsidiaries and proportionate consolidation of Indus Towers (42 per cent), stood at Rs 15,510 crore (Rs 155.1 billion) in the same period last year.
The money will be used to build capacity.
Vodafone India MD & CEO Marten Pieters, 59, blames regulation and the spectrum policy for the telecom industry's troubles.
The appointment is effective from February 16, 2012, following formal approval from the Board of Vodafone India.
Global revenue was down 2 per cent.
This equity capital infusion is the country's largest-ever FDI.
Vodafone India on Tuesday reported an 11.7 per cent growth in its revenue at Rs 20,746.9 crore (Rs 207.46 billion) for the April-September period of this fiscal on the back of data revenues, customer additions and stable pricing.
UK-based Vodafone Group on Friday said its Indian unit Vodafone India reported a growth of nearly 9 per cent in revenue to 1.03 billion pounds during the first quarter ended June 30, 2011, driven by an increase in its customer base.
Vodafone India said on Friday it would launch fourth-generation (4G) mobile phone services in the country by the end of the year.
The company will spend Rs 10,141 crore to buy 15.5 per cent stake from minority investors.
Vodafone's focus is to increase consumer data adoption along with Micromax's product expertise, it said in a statement.
Piraml will sell of its entire 11 per cent stake in Vodafone india.
The company, part of the UK-based Vodafone Group, had posted an adjusted operating profit of GBP 60 million (about Rs 503 crore) in the year-ago period, it said.
Vodafone India, the nation's second-biggest telecom firm, is planning to invest Rs 7,100 crore in the next 2-3 years, mainly on rolling out 3G networks.
Market concentration in the country's telecom sector continues to scale new heights despite government bailouts of public-sector Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone Nigam Ltd (MTNL), and private-sector Vodafone Idea. The combined revenue (or net sales) share of the country's top two telecom operators - Bharti Airtel and Reliance Jio - in the sector's total reached an all-time high of nearly 72 per cent in FY23 from 70.4 per cent in FY22 and around 60 per cent in FY20. The net sales of Reliance Jio and Bharti Airtel India were Rs 1.67 trillion in FY23, up 18.6 per cent from the Rs 1.4 trillion a year earlier.
A landmark tax case between Vodafone of the UK and the Indian government that is set to determine the future climate for mergers and acquisitions in the country began on Monday.
British telecom giant Vodafone on Tuesday announced a 14.1 per cent jump in the group's revenues to 35.5 billion pounds with its India business delivering a strong growth of over 50 per cent during the year ended March 31.
British telecom giant Vodafone Group on Tuesday posted 14 per cent growth in operating earnings from India's business to 1.12 billion pounds (about Rs 9,749 crore) for 2011-12 helped by rising customer base and strong growth in voice-call minutes.
The police had filed charges in December against Bharti Airtel and Vodafone's India unit.
A lot of mid and small-caps are in the bubble zone and command high valuation and have corrected sharply.
The Cellular Operators Association of India (COAI) has bluntly told the government there is no reason for its members to roll out 5G networks as they will be unviable if 'captive private wireless networks' are allowed to be run by enterprises. The COAI, which has Bharti Airtel, Reliance Jio and Vodafone Idea as its key members, has written to Communications Minister Ashwini Vaishnaw saying there is 'no business case for the roll out of 5G networks'. Permitting such captive networks will 'diminish the revenue so much that there will be no viable business case left for the telecom service providers and there will not remain any need for 5G network roll out by telecom service providers (TSPs)'.
It came as a surprise to all stakeholders - competing telecom companies (telcos), most analysts and even the government's internal projections on revenues from the 5G auctions. Reliance Jio disrupted all calculations by paying a stiff Rs 40,000 crore to buy 10 MHz of spectrum in the 700-MHz band, globally considered a key band for efficient 5G service coverage, along with the default 3.5 GHz band and the ultra-high speed and low-latency millimetre band of 26 GHz band. So what made Jio pay almost 45 per cent of its total spend in this auction for the 700 MHz band - much more than what it rustled up even for the 3.5 GHz band?
While Airtel may be pushed to to No 3, Jio will find it mighty difficult to beat the new entity.
British telecom giant Vodafone Group plc on Friday won an arbitration against the Indian government over a demand for Rs 22,100 crore in taxes using retrospective legislation.
Vodafone in India provides 2G and 3G services
The onus of the tax dues of Rs 22,100 crore on Vodafone India's British parent could also fall on the merged entity.
Incoming charges while roaming have been a hindrance to worry-free usage
The merged entity would be known as 'Vodafone Idea Ltd'.
.jpg)
In the process, Vodafone India's valuation rose 48.39 per cent since February 2012, when Piramal Enterprises bought 5.5 per cent stake in Vodafone India for Rs 3,007 crore (Rs 30.07 billion).
The IPO is expected to bring handsome fees for the selected banks at a time when billion-dollar listings have become scarce
4G services typically make it much faster than 3G services to surf the web on mobile phones, tablets and laptops.
In 2013-14, India became the third-largest contributor to Vodafone Group's service revenue and operating free cash flow.
With the new entity coming in force, Bharti Airtel will lose the tag of India's biggest telecom service provider to the new entity.
Reliance Jio and Bharti Airtel have enough capacity to absorb over 113.9 million Vodafone Idea subscribers who are on 4G if Vodafone Idea has to shut operations.
While Vodafone will hold 45.1% of the shares in the new entity, to be renamed at a later stage, Kumar Mangalam Birla and other promoters of Idea group will hold 26%. Vodafone India will also transfer 4.9% of its shareholding to Idea's promoters for a cash consideration of Rs 38.74 lakh crores.
DoT has rejected the demand of Vodafone India for licence extension in three circles.
© 2026 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances