Shares of debt-ridden telecom operator Vodafone Idea Ltd gained 4% in the afternoon session today after shareholders approved a Rs 20,000 crore capital raise at an extraordinary general meeting. Vodafone Idea shares surged 4% to Rs 13.98 on the BSE, up from Rs 13.44 at the previous closing.
The firm's market capitalization climbed to Rs 66,788 crore.The firm's market capitalization climbed to Rs 66,788 crore. On the BSE, 500.48 lakh shares of the firm changed hands, resulting in a turnover of Rs 68.11 crore.
The EGM saw the telecom operator's board seek approval for a fund raise of Rs 20,000 crore via equity and equity-linked instruments, which it approved on February 27.
The Rs 20,000 crore funding are expected to be utilized to expand the 4G network and roll out 5G services. The money raise is part of the company's plan to raise Rs 45,000 crore.
In terms of technicals, Vodafone Idea's relative strength index (RSI) is 46.4, indicating that the stock is not overbought or oversold. Vodafone Idea stock has a one-year beta of 1.1, indicating strong volatility over that time period.
Vodafone Idea shares are trading above the 5 day, 10 day, 20 day, 150 day, and 200 day moving averages while falling below the 30 day, 50 day, and 100 day moving averages.
