India’s Vodafone Idea secures $240 million to meet payment obligations

BENGALURU (Reuters) – Indian telecom operator Vodafone Idea said on Monday a shareholder had committed to provide up to 20 billion rupees ($240.54 million) to the company to meet its payment obligations.

The company’s total gross debt as of June 30 stood at 2.12 trillion rupees, comprising deferred spectrum payment obligations of 1.34 trillion rupees and adjusted gross revenue dues of 668.6 billion rupees owed to the government.

Debt from banks and financial institutions stood at 95 billion rupees and optionally convertible debentures amounted to 16.6 billion rupees.

Separately, Vodafone Idea said it has proposed to pay a spectrum auction instalment of 16.8 billion rupees along with interest by availing a grace period of 30 days. The instalment is due on Aug. 17.

The company earlier in the day reported a wider first-quarter loss because if weak 4G subscriber growth and higher expenses.

($1 = 83.1470 Indian rupees)

(Reporting by Nishit Navin in Bengaluru; Editing by Vinay Dwivedi)