Anchor investors provide Vodafone Idea with a Rs 5,400 crore investment

Prior to its Follow-on Public Offer (FPO), Vodafone Idea Limited (VI) has successfully raised Rs 5,400 crore from anchor investors. Prominent entities such as GQG Partners, Fidelity Investments, UBS Fund Management, Jupiter Fund Management, and Australian Super are among the anchor investors.

Indian investors also took part, including Motilal Oswal, SBI General Insurance, HDFC Mutual Fund, India Infoline, and Quant. The telecom said via a press release that 4,91 crore shares, valued at Rs. 11 a share, will be distributed to anchor investors. GQG Partners, a US-based company, was given the largest share of these, totaling Rs 1,345 crore. In the FPO, Fidelity Investments contributed around Rs. 772 crore. The contributions from Australian Super and Troo Capital will be Rs. 130 crore and Rs. 331 crore, respectively.

Idea of Vodafone
Vodafone Idea is optimistic that all subscribers would join their impending Rs 18,000 crore FPO.
Via the FPO, Vodafone Idea hopes to raise a total of Rs. 18,000 crore. These monies will be used to pay off outstanding debts with the government, expand its 4G network, and invest in 5G services.

Five domestic mutual funds received 16.20% of the total shares offered, or an amount equal to Rs.874 crore. Leading these investments with a Rs 500 crore commitment was Motilal Oswal Midcap Fund.

Retail investors may participate in the FPO from April 18 to April 22, with prices per share ranging from Rs. 10 to Rs. 11. A minimum bid lot of 1,298 equity shares is required for subscriptions.

This follow-on offer, which comes after Yes Bank’s and ONGC’s offers of Rs. 15,000 crore and Rs. 10,542 crore, might rank among the largest in Indian history. The Rs 20,000 crore FPO from Adani Enterprises was canceled the previous year. Should it be completely subscribed, the FPO will provide the business a significant boost.