This fiscal year, Idea Cellular and Vodafone India are estimated to spend Rs14,000-15,000 crore on capital expenditure. This fiscal year, Idea Cellular Ltd and Vodafone India Ltd are estimated to spend Rs14,000-15,000 crore on capital expenditure, which means spending on infrastructure may rise significantly. Unless things improve materially on the operational front, the merged entity will need to look to other sources for cash to fund its ambitious capex plans. The proceeds from the sale of Idea’s stake in Indus Towers Ltd will flow to the merged entity, and may fetch around Rs8,500 crore. The plan is that both investors end up with equal shareholding in the merged entity within a specified time frame.

Source: Mint February 27, 2018 01:52 UTC