Analysts estimate that Vodafone Idea requires at least Rs 70,000 crore in equity capital and government assistance to survive.

 

To climb out of the severe financial hole it's in and survive, analysts say Vodafone Idea (Vi) requires a minimum Rs 70,000 crore equity infusion, as well as significant government relief on the adjusted gross revenue (AGR) payments front and an early floor price legislation.

To get out of the woods, Vi will need to acquire roughly Rs 70,000 crore in equity or improve its average revenue per user (ARPU) to around Rs 200, or a mix of the two, according to brokerage Deutsche Bank.

In the end, it claimed, a solution for Vi will take "approach to Rs 1 trillion" in additional equity and cost relief.

(Source: https://telecom.economictimes.indiatimes.com)