CENTRAL WILL BECOME THE LARGEST SHAREHOLDER IN Vi WITH 35.8% OF SHARES 

Government is already ready to become the largest shareholder in Telecom company Vodafone Idea. The company decided to convert interest on the deferred spectrum and adjusted gross revenue dues into equity. The company decided to convert 16,000 crore interest liability payable to the government into equity which will be 35.8% of the stake in the company and after the conversion in the company, the government will be the largest shareholder of the company with a complete 35.8% of the company shares. 

As per the telecom reform package, the government has provided two options for the Vodafone company. Central granted a four-year moratorium on the spectrum. This company can pay its loans after four years and AGR dues. The second option is that the company should convert interest on defined liability into equity.
This moratorium also provides opportunities for companies to conserve 60,000 crores and raise funds to pay the loans of government, spread their network, and begin with 5G SPECTRUM.

Telecom opted for the second option in which the decision was to convert the interest into equity and the company board of directors sent their approval for the conversion of interest whose value is 16,000 crore Into share equity. The company’s share value has fallen from its average price, so they allotted shares to the government at rupees 10 per share. 

According to the announcement, Vodafone idea stock tanked and is trading 14.8 percent lower at rupees 12.65 on the BSE in the previous year.
At present, Vodafone is under a debt of rupees 1.94 trillion comprising deferred spectrum obligation of rupees 1.08 trillion, AGR liability of 63,400  more, and bank debt of Rs. 22,770 crores.

This conversion will lead to the dilution of other stakeholders and promoters of the company. After the conversion of interest into equity, the government will become the largest shareholder with 35.8% of shares in the company and promoter shareholders will leave with 25.8% of shares, and the Aditya Birla group with 17.5% of shares told by the company in a stock exchange notification.
So these changes in shareholding make the promoters amend the shareholder’s agreement and article associated with shareholders 

Shareholders’ agreements and articles are responsible for protecting the rights of promoters’ shareholders. These rights are subjected to a minimum qualifying threshold of 21 percent for each promoted to the group, But due to conversion after the mutual conversion between promoters and shareholders agreed to amend the agreement for reducing the minimum qualifying threshold from 21 percent to 13 percent for governing rights.
The government is becoming the company’s largest shareholder, But not being involved in company activities means that the telecom company Ravinder Takkar. 

He mentions in his interview ‘The government wants us to work will remain a private company after the conversion stated by business-standard Vi Cefficiently and completely ‘ In all my conversations with the government. They clearly state that they do not have any interest in running and acquiring the company, So it is completely wrong to say that the company will turn into a public sector undertaking.   

Government is already ready to become the largest shareholder in Telecom company Vodafone Idea. The company decided to convert interest on the deferred spectrum and adjusted gross revenue dues into equity. The company decided to convert 16,000 crore interest liability payable to the government into equity which will be 35.8% of the stake in the company and after the conversion in the company, the government will be the largest shareholder of the company with a complete 35.8% of the company shares.
As per the telecom reform package, the government has provided two options for the Vodafone company. Central granted a four-year moratorium on the spectrum. This company can pay its loans after four years and AGR dues. The second option is that the company should convert interest on defined liability into equity. 

This moratorium also provides opportunities for companies to conserve 60,000 crores and raise funds to pay the loans of government, spread their network, and begin with 5G SPECTRUM. Telecom opted for the second option in which the decision was to convert the interest into equity and the company board of directors has sent their approval for the conversion of interest whose value is 16,000 crore Into share equity.
The company’s share value has fallen from its average price, so they allotted shares to the government at rupees 10 per share. 

According to the announcement, Vodafone idea stock tanked and is trading 14.8 percent lower at rupees 12.65 on the BSE in the previous year. At present, Vodafone is under a debt of rupees 1.94 trillion comprising deferred spectrum obligation of rupees 1.08 trillion, AGR liability of 63,400  more, and bank debt of Rs22,770 crore.
This conversion will lead to the dilution of other stakeholders and promoters of the company. After the conversion of interest into equity, the government will become the largest shareholder with 35.8% of shares in the company and promoter shareholders will leave with 25.8% of shares, and the Aditya Birla group with 17.5% of shares told by the company in a stock exchange notification. So these changes in shareholding make the promoters amend the shareholder’s agreement and article associated with shareholders.

Shareholders’ agreements and articles are responsible for protecting the rights of promoters’ shareholders. These rights are subjected to a minimum qualifying threshold of 21 percent for each promoted to the group, But due to conversion after the mutual conversion between promoters and shareholders agreed to amend the agreement for reducing the minimum qualifying threshold from 21 percent to 13 percent for governing rights.

The government is becoming the company’s largest shareholder, But not being involved in company activities means that the telecom company Ravinder Takkar.
He mentions in his interview ‘The government wants us to work will remain a private company after the conversion stated by business-standard Vi efficiently and completely ‘ In all my conversations with the government. They clearly state that they do not have any interest in running and acquiring the company, So it is completely wrong to say that the company will turn into a public sector undertaking.