NEW DELHI
Shares of Vodafone Idea (Vi) fell sharply on Tuesday, dropping 9.19% in intra-day trading and declining over 16% year-to-date, following the government’s announcement that no fresh relief would be provided on adjusted gross revenue (AGR) dues. Minister of State for Communications, Pemmasani Chandra Sekhar, stated that the government has already converted a significant portion of Vi’s debt into equity and taken all feasible measures. Any additional relief would require collective approval by the Union Cabinet, involving the PMO, Finance Ministry, Telecom Ministry, and Department of Telecommunications.
The announcement also affected Indus Towers, whose shares fell 3.58% to Rs 342.05. Last week, reports suggested the DoT had proposed options such as a two-year moratorium, smaller instalments, and waivers on penalties and interest, but the government confirmed no plans for further action.
Vi CEO Akshaya Moondra said the company is focused on investing available funds into business growth rather than government negotiations. Despite reporting a net loss of Rs 6,608 crore in Q1 FY26, up from Rs 6,432 crore last year, Vodafone Idea’s revenue rose 5% to Rs 11,023 crore. Discussions with banks for funding continue, pending clarity on the AGR issue.
