VI FPO, the forthcoming Initial Public Offering (IPO) of Vodafone Idea Limited, is poised to attract significant attention from investors looking to capitalize on the telecommunications sector’s potential. Here’s an in-depth analysis of VI FPO:
**IPO Details:**
– VI FPO is a book-built issue valued at ₹18,000.00 crores, comprising an entirely fresh issue of 1,636.36 crore shares.
– Subscription period: April 18, 2024, to April 22, 2024.
– Allotment date: Expected on Tuesday, April 23, 2024.
– Listing Exchange: BSE, NSE
– Price band: ₹10 to ₹11 per share
– Minimum lot size: 1298 shares
**Key Players:**
– Book Running Lead Managers: Axis Capital Limited, Jefferies India Private Limited, and SBI Capital Markets Limited
– Registrar: Link Intime India Private Ltd
**Reservation Details:**
– QIB Shares Offered: Not more than 50% of the Net Issue
– Retail Shares Offered: Not less than 35% of the Net Issue
– NII (HNI) Shares Offered: Not less than 15% of the Net Issue
**Timeline:**
– IPO opens: April 18, 2024
– IPO closes: April 22, 2024
– Listing Date: Thursday, April 25, 2024
**Promoter Holding:**
– Promoters: Kumar Mangalam Birla, Hindalco Industries Limited, Grasim Industries Limited, and others
– Pre-Issue Shareholding: 48.75%
**About Vodafone Idea Limited:**
– Vodafone Idea Limited, established in March 1995, is a leading telecommunications service provider in India.
– Services offered: Voice, data, and value-added services across 2G, 3G, and 4G technologies.
– Subscriber base: Over 223.0 million subscribers as of December 31, 2023, with a subscriber market share of 19.3%.
– Network statistics: Carried 401 billion voice minutes and 6,004 billion MB of data as of December 31, 2023.
– Market presence: Operates in 17 countries and collaborates on IoT platforms in 45 other countries.
– Financial performance: Total income for FY2023 was ₹424,885 million.
**Financial Information:**
– Revenue: ₹32,125.60 crores (as of December 31, 2023)
– Profit After Tax: -₹23,563.80 crores (as of December 31, 2023)
**Key Performance Indicators:**
– Market capitalization of VI FPO: ₹73,131.8 crores
– EPS (Pre IPO): -₹5.85
– EPS (Post IPO): -₹4.73
**Objects of the Issue:**
The net proceeds from the VI FPO will be utilized for the following objectives:
1. Purchase of equipment for expanding network infrastructure, including setting up new 4G and 5G sites, and expanding capacity.
2. Payment of deferred spectrum payments to the Department of Telecommunications (DoT) and the associated Goods and Services Tax (GST).
3. General corporate purposes to support ongoing operations and initiatives.
