Vodafone Idea Gets a Lifeline: Government Stake Soars to 49%

Shares of Vodafone Idea (Vi) jumped as much as 22% on April 1, 2025, after the Indian government decided to convert ₹36,950 crore of spectrum dues into equity. This step increases the government holding in the debt-ridden telecom operator from 22.6% to 48.99%, becoming the biggest shareholder. The news has elicited mixed reactions from brokerages, with optimism balanced by continued challenges.

 

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Though this action gives short-term relief, experts emphasize that raising new capital and network building are still essential for Vi's long-term survival.

 

Sources: Economic Times, Business Today, India Today