NEW DELHI: Vodafone Idea Limited (VI) has successfully secured Rs 5,400 crore from anchor investors ahead of its Follow-on Public Offer (FPO). The anchor investors include prominent names like GQG Partners, Fidelity Investments, UBS Fund Management, Jupiter Fund Management, and Australian Super.
Additionally, Indian investors such as India Infoline, Motilal Oswal, HDFC Mutual Fund, SBI General Insurance, and Quant participated. The telco, in a press note, announced the allocation of 4,91 crore shares to anchor investors at Rs.11 per share. Among them, US-based GQG Partners received the highest allocation of Rs 1,345 crore. Fidelity Investments invested approximately Rs.772 crore in the FPO. Troo Capital and Australian Super will be contributing Rs.331 crore and Rs.130 crore, respectively.
Vodafone Idea aims to raise a total of Rs.18,000 crore through the FPO. These funds will be used to strengthen its 4G network, invest in 5G services, and clear outstanding dues with the government.
Out of the total shares offered, 16.20%, equivalent to Rs.874 crore, were allocated to five domestic mutual funds. Motilal Oswal Midcap Fund led these investments with a contribution of Rs 500 crore.
The FPO is priced in the range of Rs.10-Rs.11 per share and will be open for retail investors from April 18 to April 22. The minimum bid lot for subscription has been fixed at 1,298 equity shares.
This follow-on offer has the potential to be one of the biggest in Indian history, following Yes Bank's Rs 15,000 crore and ONGC's Rs.10,542 crore offerings. Adani Enterprises’ Rs 20,000 crore FPO was cancelled last year. If fully subscribed, the FPO will provide a major boost for the company.
