Vi (Vodafone Idea) is currently paying its monthly bills to Indus Towers. It may need to raise funds to clear its arrears, according to Indus Towers’ management.
Indus Towers CEO Amit Sharma stated that Vi has been paying its monthly bills on time. However, there are some arrears from the past. Vi is considering various options, including raising funds, to address this issue.
Vi has been facing financial struggles for a while. The company’s debt exceeds Rs 1.9 lakh crore. Due to its high debt levels, Vi has been unable to raise funds from the market.
In April, Vi announced a plan to raise Rs 25,000 crore by selling assets and stake in its tower company. Yet, the fundraising process remains incomplete.
Failure to clear its arrears to Indus Towers could lead to termination of contracts with the tower company. Losing access to Indus Towers’ network of over 220,000 towers would be a major setback for Vi.
It remains uncertain whether Vi will secure the necessary funds to clear its arrears and avoid contract termination with Indus Towers. Nevertheless, the fact that the company is currently paying its monthly bills is a positive sign.
