Vodafone Idea FPO: Share Price Debuts With 7.27% Premium At Rs 11.80 – News18

The opening price of Vodafone Idea FPO shares stood at Rs 11.80 per share on the NSE, marking a 7.27% increase from the issue price of Rs 11. Meanwhile, on the BSE, the opening price for Vodafone Idea FPO shares today was Rs 12 each, reflecting a 9% rise from the issue price.

The telecom provider commenced its subscription period on Thursday, April 18, concluding on Monday, April 22. Each share was priced at Rs 11, which was at the upper end of the price band set at Rs 10-11.

Vodafone Idea’s (VIL) board has fixed the FPO offer price at Rs 11 per equity share, according to a regulatory filing.

Modest Increase

Shivani Nyati, Head of Wealth, Swastika Investmart, said, “While Vodafone Idea’s FPO listing around Rs. 12 is a modest increase from the issue price, it reflects initial selling pressure for short-term gains. However, a drop below Rs. 11 seems unlikely given the company’s turnaround potential. Positive signs and potential post-election tariff hikes could trigger fresh buying after this initial volatility. Aggressive investors with a long-term view might consider holding onto the stock, aiming for a potential rise towards Rs. 18 in the future.”

Debt-laden telecom operator has raised Rs 18,000 crore pulling off India’s largest-ever follow-on public offering (FPO) as the issue got subscribed nearly seven times after institutional investors poured in money, stock exchange data showed on Monday evening.

Before this, the largest FPO in the Indian market was a Rs 15,000 crore share sale by YES Bank in 2020.

The fundraise would give the ailing telco the firepower to improve its positioning in the Indian telecom market, where it currently trails larger rivals such as Reliance Jio and Bharti Airtel, by a wide margin.

The funds will also help Vodafone Idea shore up finances for the much-delayed 5G roll-out and strengthening 4G services, and payment of vendor dues.