Telecom major Vodafone Idea is in fresh talks with the Centre over its Adjusted Gross Revenue (AGR) issue, its Chief Executive Officer Akshaya Moondra said during a conference call with investors and analysts, Moneycontrol reported on Monday.
“In light of the curative petition dismissal, we have initiated fresh dialogue with the government on likely remedy,” Moondra said, according to the report.
Vodafone Idea Ltd shares closed 3.34 per cent higher at ₹10.83 after Monday’s trading session, compared to ₹10.48 at close on Friday.
The telecom major announced an urgent conference call with investors and analysts after the Supreme Court of India dismissed a group of pleas filed by firms, including Vodafone Idea and Bharti Airtel.
A Supreme Court bench comprising Chief Justice of India DY Chandrachud and Justices Sanjiv Khanna and BR Gavai rejected the petition filed by telecom companies regarding the re-computation of AGR.
The CEO also reportedly said the outcome of the petition is “disappointing” but does not impact the company’s long-term business plan and its existing liabilities.
“We are putting together requests in the coming days. We expect a very strong engagement with the government,” Ravindra Takkar, Chairman of Vodafone Idea, also said, as per the Moneycontrol portal.
The chairman also said the company had been engaging senior government officials even before the court judgement, and the engagements have been “in the apparent view from every side that merits of our case on the AGR with regards to calculation errors,” he said, as per the report.
Vodafone Idea’s future plans :
On the future of the company, the CEO said that Vodafone Idea has activated its growth cycle with the kickstart of its network expansion. However, a large sum of cash generation will go towards government obligations, the report said.
The company expects to start seeing the delivery of 4G/5G equipment in the second half of the upcoming quarter, and the deployment will begin and continue in full flow, said Moondra, adding that there is some lead time for vendors to take orders and start supplying.
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