Vodafone Idea slips 7.5%

Vodafone Idea has slipped almost 7.5% to Rs.29.65 in the afternoon session, very close to its 52-week of Rs.28.80, which also happens to be its 10% LC for today.

The stock price slipped as soon as the Board meeting concluded wherein the details of the mega rights issues were released.

Following close on the heels of Bharti Airtel’s Rs.32,000 crore fund raising plans thro’ equity and bonds, Vodafone Idea are going ahead with a Rs.25,000 crore rights issue.

The market is pretty miffed as the rights issue price of Rs.12.50/share is at a huge 58% discount to yesterday’s closing price.

The entitlement ratio is fixed at 87 equity Shares for every 38 equity Shares held by the eligible shareholders of the company on the record date as on 2nd April’19.

The issue opens on 10th April and closes on 24th April 2019.