Vodafone Idea Shares Fall 9% After SC Defers AGR Case Hearing to October 6

The share price of Vodafone Idea nosedived 9 per cent in Friday's trading session after India's apex court deferred hearing the telecom operator's Adjusted Gross Revenue (AGR) case to October 6 after the government requested for more time.

The Gandhinagar-headquartered company's shares declined as much as 9.40 per cent to  Rs 7.90 apiece on the BSE bourse.

Representing the Department of Telecommunications (DoT), Solicitor General Tushar Mehta had sought additional time to respond to Vodafone Idea's plea.

The case pertains to the DoT’s demand of ₹9,450 crore in additional AGR dues from the debt-laden telecom company. Vodafone Idea has petitioned the Supreme Court to set aside the demand, arguing that it exceeds the scope of the court’s earlier judgment on AGR liabilities.

Last week, the centre had informed the Supreme Court that it does not oppose Vodafone Idea’s plea while emphasizing on the new for a resolution given the central government itself has  significant equity in the telecom services provider.

The Supreme Court, during last week’s hearing, emphasized the need for finality in the matter and had listed the case for Friday, September 26. With the fresh deferment, the next hearing is now scheduled for October 6.

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Vodafone Idea Share Price Movement

The Kumar-Mangalam Birla owned stock has rallied 21 per cent in the past month and 12 per cent int last three month period. It has gained 15 per cent in six months but has remained largely flat on a year-to-date (YTD) basis.

Ahead of SC hearing today, Vodafone Idea shares which witnessed a little recovery are now trading nearly 4% lower again ahead of the SC hearing on AGR dues.