Vodafone Idea dials lenders for Rs 7,000 crore in emergency loans

Vodafone Idea has called a host of lenders including State Bank of India, Punjab National Bank, HDFC Bank and IDFC First to line up loans totaling over Rs 7,000 crore. The bulk of it will be used to clear a portion of its dues to Indus Towers. The distressed telecom operator has asked them to factor in Rs 15,000 crore in bank guarantees and grant it fresh loans. The bank guarantees were returned by the government last year under a revival package for the sector.

Why it’s important: Lenders sought clarity on the government’s potential shareholding in Vodafone Idea, and plans for the promoters to infuse fresh equity to boost investor confidence and scale up business. Moneycontrol