The Government is expected to acquire a stake in debt-laden Vodafone Idea Ltd. Debt-ridden Vodafone Idea (VIL) has decided to opt for converting about Rs 16,000 crore of interest liability payable to the government into equity which will amount to around 33 per cent stake in the company while promoters’ holding will come down from 74.99 per cent to 50 per cent.
The board of Vodafone-Idea has offered a stake to the government at Rs 10 par value. As per Securities & Exchange Board of India (Sebi) rules, the acquisition should take place at par value. The Department of Telecom (DoT) will clear the acquisition once the share price stabilises above Rs 10, the report further added.