Vodafone Idea shares jump 13% to hover near one-year high on fundraising plans

Shares of Vodafone Idea Ltd continued their strong upward move for the second straight session in Friday's trade after the telecom operator said it is considering raising funds via routes including a rights issue or a further public offer of shares.

The stock today jumped 12.90 per cent to hit a day high of Rs 18.38 over its previous close of Rs 16.28. At today's high price, the scrip was just 0.22 per cent away from its one-year high of Rs 18.42, a level seen earlier on January 1 this year.

Around 16.97 crore shares were last seen changing hands on BSE. The figure was higher than the two-week average volume of 6.70 crore shares.

Turnover on the counter came at Rs 300.75 crore, commanding a market capitalisation (m-cap) of Rs 88,159.15 crore.

The telco said its board will consider proposals for the fund raise on February 27. Also, Aditya Birla Group chairman Kumar Mangalam Birla stated that his group remains committed to Vodafone and its investors.

Voda Idea has been in talks for several months with lenders and investors to raise funds.

Voda Idea chief executive Akshaya Moondra, in a recent earnings call, mentioned that funding discussions are in progress with investors. Given the nature of these discussions, we will not be able to respond to any queries on this subject, he said.

The counter traded higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150- and 200-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) came at 67.33. A level below 30 is defined as oversold while a value above 70 is considered overbought.

As of December 2023, promoters held 50.36 per cent stake in the company.

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