Vi Shares Soar 6% as Arm Secures ₹3,300 Cr via NCDs; AGR Relief Package Expected

• Vodafone Idea (Vi) shares jumped over 6% after its subsidiary, Vodafone Idea Telecom Infrastructure Limited (VITIL), raised Rs 3,300 crore through Non-Convertible Debentures (NCDs).
• VITIL's fundraise attracted diverse investors, including NBFCs, FPIs, and AIFs; proceeds will repay Vi, boosting its capital expenditure and growth.
• CLSA suggests the government may consider a partial waiver of interest, penalties, and interest on penalties on Vi's Adjusted Gross Revenue (AGR) dues, potentially offering $8 billion in relief.
• Vi faces significant AGR dues of Rs 83,400 crore, with annual payments of Rs 18,000 crore starting March 2025; the Supreme Court allowed reassessment of dues up to FY17.
• The government is Vi's largest shareholder with nearly 49% stake, acquired by converting dues into equity.

Why It Matters: Vi's financial outlook improves with a major fundraise and potential government relief on AGR dues.