Vi fails to shake off survival woes even with second lifeline

Without equity conversion, Vi's payable spectrum dues to the govt would have been ₹11,000 crore for FY26

- Jatin Grover

The government's fresh equity-for-debt in Vodafone Idea is expected to provide the telecom operator with a ₹40,000 crore cash flow relief over the next three years and reduce its net debt by 18%, analysts said. Yet, their concerns over the company's survival remain.

With the government converting spectrum dues worth ₹36,950 crore into equity, Vodafone Idea would now have to pay over 66% less in statutory dues over the next three years after the expiry of the current moratorium later this year. But, analysts said the company must meet a yearly ₹43,000 crore payment obligation (spectrum and adjusted gross revenue dues) over FY28-31.