Vodafone Idea May Get $4 Billion Investment From Amazon, Verizon: Report

Amazon and Verizon did not return emails seeking comment outside regular US business hours.

Share on Facebook Tweet Snapchat Share Reddit Comment
Vodafone Idea May Get $4 Billion Investment From Amazon, Verizon: Report

Vodafone Idea has paid the Indian government Rs. 7,854 crores in telecoms dues

Highlights
  • Amazon and Verizon are set to resume discussions following a SC ruling
  • SC ruling gave mobile carriers 10 years to settle government dues
  • Vodafone Idea still owes Rs. 50,000 crores in telecom dues

US wireless carrier Verizon and Amazon may invest more than $4 billion (roughly Rs. 29,354 crores) for a stake in India's Vodafone Idea, the Mint newspaper reported on Thursday.

The struggling Indian telecom firm's shares rose as much as 30 percent.

The news comes days after India's top court ruled that mobile carriers must settle government dues within 10 years, giving Vodafone Idea some reprieve in a case it had said could affect its ability to continue as a going concern.

Vodafone Idea, a joint venture between Britain's Vodafone and India's Idea, still owes Rs. 50,000 crores to the Indian government.

Vodafone Idea's stake-sale talks had been paused pending the court ruling, but Amazon and Verizon are now set to resume them, Mint reported, citing two people aware of the negotiations.

Amazon and Verizon did not respond to Reuters requests for comment outside regular US business hours.

The Tuesday ruling gives Vodafone Idea, India's third largest telecom firm by subscribers, some respite but analysts say the loss-making company's financial pressures persist.

Shares in Vodafone Idea hit a more than one-year high before closing up 26.77 percent amid a flurry of news about its fundraising plans.

CNBC-TV18 reported Vodafone Idea could "take stock" of a sale of its optic fibre business at a Friday board meeting scheduled to discuss fundraising plans.

Canada's Brookfield Asset Management and private equity group KKR were contenders for the business, CNBC-TV18 said.

Vodafone Idea was planning to raise about $1.5 billion (roughly Rs. 11,030 crores) and was working with advisers as it seeks investors, Bloomberg News reported.

Vodafone Idea and KKR declined to comment, while a representative for Brookfield did not immediately respond to a request for comment.

© Thomson Reuters 2020


Is this the end of the Samsung Galaxy Note series as we know it? We discussed this on Orbital, our weekly technology podcast, which you can subscribe to via Apple Podcasts, Google Podcasts, or RSS, download the episode, or just hit the play button below.

Comments

For the latest tech news and reviews, follow Gadgets 360 on Twitter, Facebook, and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel.

TikTok Buyers Said to Pursue Four Options in Effort to Revive Talks
Realme 7 Pro, Realme 7 With Quad Rear Cameras, Hole-Punch Displays Launched in India: Price, Specifications

Related Stories

 
 

Advertisement

Advertisement

© Copyright Red Pixels Ventures Limited 2020. All rights reserved.
Listen to the latest songs, only on JioSaavn.com