American Tower Corporation (ATC) has requested Vodafone Idea Limited (Vi) to convert 14,400 optionally convertible debentures (OCDs) – out of the 16,000 that the telco issued to the tower company – into 1.44 billion fully-paid equity shares.
In a stock exchange filing, Vi informed that ATC is one of its largest infrastructure service providers and that both entities have a long-term relationship. It stated that in the spirit of this partnership, ATC subscribed to OCDs amounting to Rs 16 billion, proceeds of which were primarily utilised against payment of dues to ATC. The conversion price of Rs 10, at the time of the OCD issuance, was at a premium to the then prevailing market price of Vi’s share.
Vi said that it is taking suitable steps to make the allotment to ATC. The telco confirmed that ATC India will own 2.9 per cent of its revised shareholding after the conversion.
