Vodafone Idea Share Price in Focus as Telco Seeks Non-Bank Funding, Pushes for AGR Settlement

Vodafone Idea (Vi) is exploring non-bank funding sources to meet its capital expenditure needs, as lender talks remain slow amid AGR-related uncertainty. Outgoing CEO Akshaya Moondra emphasised that government action on AGR dues before March 2026 is key to boosting bank confidence and enabling fresh investments, as per the Moneycontrol report.

Vodafone Idea’s Funding Challenges

During its June-quarter earnings call, outgoing CEO Akshaya Moondra confirmed that Vodafone Idea is scouting non-bank avenues for raising funds, the report added.

Although discussions with lenders are underway, they are yet to conclude, mainly due to concerns surrounding the company’s adjusted gross revenue (AGR) liabilities.

AGR Dues Remain a Critical Hurdle

Moondra highlighted that Vodafone Idea has formally requested the government to settle the AGR issue before the March 2026 deadline. Such a move would reassure banks and potentially unlock financing support.

The company has already benefited from the government’s conversion of ₹36,950 crore dues into equity, followed by an improved credit rating, but lenders remain cautious.

Limited Scope for Self-Funding

While Vodafone Idea generates modest cash flow from operations after servicing its debt, Moondra admitted the company can only finance a small portion of its capex internally. Planned investments will therefore hinge on securing new funding. Current resources are sufficient only to support incremental spending.

Capex Progress and Network Expansion

So far, the company has deployed capex through September, strengthening its 4G coverage, which Moondra described as “highly competitive.” Going forward, Vi’s focus is shifting to 5G rollouts and capacity upgrades by redeploying equipment and phasing out underutilised sites.

However, no major expansion in the number of sites is expected in the near term, as fresh funding remains essential.

Vodafone Idea Share Price Performance

Vodafone Idea’s stock was trading at ₹6.52, marking a 0.93% gain at 9:30 AM on the NSE from its previous close of ₹6.46. The stock opened at ₹6.52, touched a high of ₹6.60, and dipped to a low of ₹6.49 during early trade.

The volume-weighted average price (VWAP) stood at ₹6.54, reflecting cautious yet steady investor sentiment amid funding and AGR-related updates.

Read More: Vodafone Idea Share Price Jumps 8% as Q1 FY26 Losses Narrow, ARPU Improves.

Conclusion

Vodafone Idea’s financial future continues to hinge on both government action and external funding. While recent steps like equity conversion and a credit rating upgrade have provided some relief, the settlement of AGR dues will be critical in unlocking larger financing avenues. For now, Vi is maintaining competitiveness in 4G and cautiously progressing with 5G, but long term growth will require stronger capital support.

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