Vodafone Idea planning to raise Rs 100 billion via non-convertible debentures

As per industry sources, Vodafone Idea is planning to raise Rs 100 billion by issuing papers such as non-convertible debentures as part of its fundraising strategy. With this, Vi has shelved its original plan to raise Rs 250 billion by selling hybrid securities to foreign funds.

Over the past few months, Vi had been in talks with the Oak Hill-led consortium to finalise the terms of a $2 billion credit line via hybrid convertible funding instruments, comprising bonds and warrants. The credit line, which was to be used to expand the carrier’s 4G network, was meant to be a part of the overall Rs 250 billion that Vi plans to raise via a mix of debt and equity.

However, this deal recently fell off as US-based GoldenTree Asset Management left the consortium.

Following this Vi has reportedly reached out to a new set of US-based private equity players, including KKR and Carlyle Group, to secure around $2-2.5 billion funding via convertible instruments.