During the last market session of 2023, the share prices of telecom company Vodafone Idea jumped up by 20 per cent despite bleak profits over the last few months. Up by over 20 percent, VI shares hit their one-year high on December 29.
On December 30, during the last trading session of the year, Vodafone Idea shares hit the upper mark of 23 per cent, touching their 52-week high on the market. This spike in the share prices is due to a major deal recently announced by the telecom company.
Vodafone Idea shares jumped from ₹13 to ₹16 on Friday, jumping over 20 per cent during the trading session. While this has become the company’s 52-week high, VI share prices’ 52-week low was recorded at ₹5.70.
The sudden spike in VI share prices happened due to the recent attempts of the company to raise funds, where it sold 16.05 crore shares. The total deal transaction was worth ₹233 crore, reported AajTak.
Vodafone Idea’s deadline for raising funds is ending on December 31, while it is expected that the company will seek an extension as it is still in talks with many banks. VI is also in talks with management to formulate a plan for the 5G roll out in India.
Earlier this year, Vodafone Idea had made a heft payment of ₹1700 crore to the Department of Telecommunications as an instalment of the spectrum it acquired in 2022. This payment by the company raised sentiments by the shareholders, holding up the share price of the company.
VI shareholders double their money
In the last six months, the share prices of Vodafone Idea have increased by 113 percent, more than doubling the money of the investors and shareholders of the company. Till date, 2023 has been the best year for VI shares on the stock market since it was listed in 2007.
Vodafone Idea is also in talks with multiple lenders and banks to raise around ₹2000 crore for the company to cut their losses and prepare for the 5G roll out, but the talks regarding the same have not been finalised yet.
