Vodafone Idea Shares Price Gains Ahead of Supreme Court Hearing in AGR Dues Case

Vodafone Idea share price gained over percent on Monday ahead of the Supreme Court hearing on the company’s plea seeking quashing of the Department of Telecommunication’s additional adjusted gross revenue (AGR) demands for the period up to 2016-17. Vodafone Idea share price opened higher at ₹9.63 apiece on the BSE, as against its previous close of ₹9.62 per share. The telecom stock gained as much as 1.87% to an intraday high of ₹9.80 apiece. Shares of Vodafone Idea were up 0.5% at ₹9.67. The stock has risen 17.5% in the last one month and is close to its FPO price of ₹11 per share.

A bench comprising Chief Justice B R Gavai and Justices K Vinod Chandran and Vipul M Pancholi is scheduled to hear the plea on October 27 when the apex court resumes working after Diwali vacation. On October 13, the top court deferred its hearing after the Centre sought more time. The Supreme Court had observed that it wanted the Centre to take a specific stand and deferred its hearing after Diwali celebrations, on October 27. Earlier this month, news agency Bloomberg reported, citing sources that the Centre is weighing on a resolution for Vodafone Idea dues to bolster its ties with the UK. The Centre is considering a one-time settlement, it reported. The resolution could be a waiter of interest and penalties, which would be followed by a concession on the principal, Bloomberg reported, adding that the Centre officials were drafting the framework. A total of ₹2,774 crore of the ₹9,450 crore comprises the FY18-19 dues of the merged Vodafone Idea and Idea group entity and their consolidation in August 2019. A total of ₹5,675 crore is with regards to the pre-merger Vodafone Group.