New Delhi: When fighting in the battle of despair in the midst of severe losses and increased debt, the idea of Vodafone failed to pay a full license fee to the government for the first fiscal quarter, with a shortage of almost Rs 150 Crore.
This is the second quarter of payment delayed by the company on license fees, and will lead to penalties and new contributions that are in demand and above nearly Rs 1.6 lakh crore that he must have paid to the Department of Telecommunications.
In accordance with the company’s assessment, this is a telecommunications license fee for the April-June quarter of fiscal year 2021-22 around Rs 690 Crore.
However, it can only pay around RS 540 Crore, the top sources to Ti.
Questions sent to companies remain missed.
The license is charged at 8% of the adjusted gross income from the operator during the specified period, and each delay carries the interest penalty fee calculated on the MCLR (marginal fund-based landing rate fee) plus 4%.
Notification will be issued for the company immediately if the payment continues to grow short, the source said.
The idea of Vodafone is currently in the middle of a large-scale crunch cash, but the promoter – Vodafone PLC from England and Aditya Birla Group – has refused to make fresh equity investments, looking to improve finances from outside sources.
Kumar Mangalam Birla, chairman of the company, has a letter to the Cabinet Secretary of the Gauba Rajiv (in June) offering a group of 27% to the government or other entities that are considered to match the name “National Interest”.
He is looking for an urgent government bailout, saying that the absence of a resurrection package can cause vodafone ideas against “irreparable destruction points”.
On the other hand, Vodafone PLC CEO Global Nick Read told analysts that there were no more funds to come to India.
“…
I want to make it very clear, we don’t put additional equity to India.” The government also works overtime to find a solution that allows the idea of Vodafone to survive, and not towards bankruptcy, which will give the biggest hit to FECEQUER.
Vodafone’s idea, the third largest telecommunications operator with around 27 crore customers, owed rs 96,300 crore on a large scale to the government as a deferred spectrum payment contribution, while responsible for paying Crore RS 61,000 on AGR obligations.
Both payments also bring interest payments worth thousands of crores, leaving the government in a precarious position in the case of the default company and gradually towards bankruptcy.
Among the various options seen by the Telecom Department are plans to extend the two-year moratorium on spectrum payments outside the fiscal 2021-22.
However, every relief at the cost of exchange, it will not be limited to the idea of Vodafone, but will be given to all the telecommunications industries, so it benefits healthier players such as Reliance Jio and Bharti Airtel even more.
The source in the government said that every assistance package would be “justified” if the promoter of the idea of Vodafone also stepped forward and included fresh equity.
“They need to send a positive signal and ensure that they are ready to invest and work towards the resurrection.
Without their active interest, sovereign assurance or resurrection package will only be a suspension of a temporary sentence, such as what happened before,” the sources said.
The CEO of Idea Vodafone Ravinder Takkar told analysts this week that the tariff increase and base price (the minimum mandate cost in data and sound packages) would be important steps to allow the company to regain health.
Speaking during the Q1 FY22 income call, Takkar said that even though Birla had recently resigned as chairman, “he and Aditya Birla Group (ABG) and Vodafone Group are committed to providing support and guidance to the company, in line with those stated in the second position of the group”.
However, he did not describe whether both of them would invest directly.
In fundraising, Takkar stated that Vodafone’s idea continued to remain in active discussions with potential investors.
Note by Goldman Sachs has warned that Vodafone Iddea has a large payment of maturity starting from 2021, and in EBITDA (profit before interest, depreciation, and amortization) running, it can have a shortage of cash 23.800 until April 2022.
Voda’s idea fell RS 150CR for payment of license fees
