Giving a sigh of relief to the investors, share price of Vodafone Idea continued to remain in the green zone on Wednesday afternoon and traded up by over 8 per cent.
After gaining a high of Rs 10.10 earlier in the day, the shares were trading at Rs 9.63, up by Rs 0.74 or 8.32 per cent on the BSE. On Tuesday, the scrip fell over 17 per cent after the Supreme Court delivered its verdict on the staggering payment of Adjusted Gross Revenue (AGR) due issue. The apex court gave a 10-year timeline to the telcos to repay their dues, with an upfront payment of 10 per cent by March 31, 2021.
The shares had ended lower by 13 per cent at Rs 8.9 on the BSE.
At 2.36 p.m. shares of Vodafone Idea were trading up by 10.73 per cent or Rs 0.95 at Rs 9.80. Earlier, it had hit day’s high of Rs 10.15.
The top court in its verdict said that every year by February 7, payment has to be made and telecom companies will have to face contempt proceedings along with a penalty in case of default in payment of annual instalment.
The Centre had sought a 20-year timeline for the adjusted gross revenue (AGR) payments, and both Vodafone Idea and Bharti Airtel had sought a 15-year timeline.
Vodafone Idea is in a financially weaker position than the other telcos and has time and again said that it would have to shut shop if it were to pay the dues in one go.