On Friday, Vodafone Idea (Vi) CEO Akshaya Moondra sent a mass “gratitude mail” to the telecom company’s nearly 220 million customers.
Why the mail?
After experiencing continuous subscriber loss for the last 23 quarters, the company has good news to announce this quarter.
The CEO in the mail shared that the company recently raised capital through a successful FPO in April 2024. It concluded an Rs 18,000-crore follow-on public offer (FPO), subscribed seven times.
This is a significant milestone for the telecom joint venture between UK’s Vodafone Plc and India’s Aditya Birla Group. The CEO expressed “a deep sense of gratitude and appreciation for reposing your trust in us; the success of the company’s FPO is “testimony to this”.
Further, Vi has been ranked highly on voice quality by TRAI, the telecom regulator. The telecom brand secures a high rank on fast data speeds by independent agencies. To this, Moondara said, “We are excited about what comes next” and promises to ensure continued delivery of quality service.
The letter also shared its plans for upcoming investments.
What are Vodafone’s plans?
Primarily, the telecom company will concentrate on expanding both 4G services and the rollout of 5G services, ensuring continued improvement in service quality.
Of the total amount from FPO (Rs 18,000 crore), Rs 12,750 crore will be utilised to expand the capacity of existing 4G sites by purchasing equipment for network infrastructure, setting up new 4G sites, and new 5G sites. Also, Rs 5,720 crore of the Rs 12,750 crore are reserved for network expansion on setting up its 5G network.
Since 4G expansion being an immediate priority for the telco.
The company will also be installing 26,000 towers over a period of two years.
“We are ready for a new chapter of growth and innovation, empowered by our state-of-the-art network, advanced technology, and unwavering commitment to customer satisfaction. Thank you for being an integral part of our story. We are committed to delivering the best to you,” said the CEO.
Despite the positive news, Vi-IDEA’s (NSE) share price plummeted as investors sold off. The stock opened at ₹12.71 and closed at ₹12.60 (-0.79%). 
Comments 1