Vodafone Group pledges its stake in Vodafone Idea

Last Updated: Thu, May 09, 2019 16:44 hrs
Man speaks on his mobile phone as he walks past the logos of Vodafone painted on a roadside wall in Kolkata

New Delhi: Vodafone Group Plc has pledged its entire 44.39 per cent stake in Vodafone Idea worth over Rs 18,000 crore with seven foreign banks.

The development comes after after the country's largest telco Vodafone Idea issued new shares following its 25,000-crore rights issue.

In a regulatory filing, Vodafone Idea said on Thursday that Vodafone Group has pledged its shares in relation to the "financing arrangement" in favour of HSBC Corporate Trustee Company (UK) Ltd which is acting as a trustee for BNP Paribas, HSBC Bank Plc, ING Bank NVSingapore branch, StanChart Bank, Bank of America Merrill Lynch and Morgan Stanley Senior Funding Inc.

"Vodafone Promoter Mauritius Shareholders" and "Vodafone Promoter Indian Shareholders" who are collectively refferred as "Vodafone Promoter Shareholders" have pledged their 44.39 per cent stake in Vodafone Idea, it said.

There are 12 entities under Vodafone Group based out of Mauritius and India which own the stake.