As per media reports, Vodafone India is seeking fresh capital investment from its parent company, UK-based Vodafone Group. The operator is currently in talks with shareholders regarding fresh equity infusion in the company.
A final decision on the capital investment, however, is likely to come only after the next round of spectrum auction, expected to be conducted by the government in 2015.
Going forward, Vodafone India will require funds for renewing its licences in six non-metro circles. The operator?s licences in these circles are due for renewal in April 2016. To continue providing services in these circles, Vodafone India is expected to bid aggressively for spectrum in the 900 MHz band.
According to a Deutsche Bank report, based on the price at which the operator acquired spectrum in the auction concluded in February 2014, Vodafone India will require about Rs 314 billion to buy spectrum in the 900 MHz in six non-metro circles where its licences will come up for renewal.
