Vodafone Idea, IDFC First Bank: Stocks trade flat; what's happening in the two counters- Details
Vodafone Idea-IDFC First Bank News: Shares of Vodafone Idea and IDFC First Bank were trading lower by around one per cent each in BSE intraday trade on Friday amid two good news for the telecom company.
Vodafone Idea-IDFC First Bank News: Shares of Vodafone Idea and IDFC First Bank were trading lower by around one per cent each in BSE intraday trade on Friday amid two good news for the telecom company. Vodafone Idea share price dropped 1.1% to Rs 9.5, while IDFC First Bank stock price declined by one per cent to trade at Rs 50.50 on the BSE.
Meanwhile, Vodafone Idea, which breached Rs 10-mark after three months on Thursday, continued to trade flat on Friday amid two positive developments related to the counter.
In one of the positive developments for Vodafone Idea, the government on Thursday said that it will acquire a stake in debt-ridden Vodafone Idea after the stock price of the company stabilises at Rs 10 or above.
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Vodafone Idea (VIL) board has offered a stake to the government at a par value of Rs 10 per share.
"There is a SEBI norm that the acquisition should take place at par value. DoT will clear the acquisition after VIL shares stabilise at Rs 10 or above," an official source told PTI.
In another good news, IDFC First Bank MD and CEO V Vaidyanathan confirmed that the beleaguered telecom company has paid the entire loan of the bank. Vaidyanathan also told that the bank has given another loan of Rs 500 crore to Vodafone Idea.
As per Zee Business, the bank had exposure of Rs 3240 crore, which is 2.90% of loan book, in Vodafone Idea in September 2021. Out of the total loan amount, the telecom firm paid Rs 1500 crore along with interest of Rs 110 crore in December 2021. The remaining amount was paid subsequently to the bank.
Talking about IDFC First Bank target price, market expert Sumit Bagadia said the stock has shown good move from the lower level in the past 3-4 months. He said the stock will soon achieve the short-term target price of Rs 55-58. He suggested to stay invested in the counter.
The finance ministry had cleared the proposal to acquire stake in VIL in July.
Debt-ridden Vodafone Idea (VIL) has decided to opt for converting about Rs 16,000 crore of interest liability payable to the government into equity which will amount to around 33 per cent stake in the company while promoters' holding will come down from 74.99 per cent to 50 per cent.