Vodafone Idea shares rally 4%, Indus Tower stock up 2%: Here is what’s keeping investors interested on Wednesday

This week, the government said that it is awaiting a formal request from Vodafone Idea before moving ahead on any relief measures, adding that the Supreme Court judgement is recent and needs careful evaluation.

Following this, shares of Vodafone Idea were trading higher on Wednesday. At 10:55 AM, the stock was trading at ₹10.37 per share on NSE, gaining 2.37%. Shares of Indus Towers also climbed 2.37% to ₹411.50 apiece on the NSE, as Vodafone Idea is one of Indus Towers’ largest customers.

The minister noted that the ministry is currently examining the legal boundaries set by the court. “Judgement needs to be evaluated from a point of view of what can be done and what cannot be done. We cannot cross the border of the SC judgement."

Scindia suggested that the government may complete its assessment and issue recommendations within the next couple of weeks, with the details of the relief package likely to be announced by year-end.

In November 2025, in a major relief to Vodafone Idea, the Supreme Court said that the Centre can reconsider and reconcile the telecom company's pending dues of all adjusted gross revenue, and it will not be restricted to AGR dues for the financial year 2016-17.

Here's what analysts said

Meanwhile, analysts at CITI noted that Scindia offered an upbeat update on the Supreme Court’s recent ruling on AGR relief for Vodafone Idea. Scindia said the contours of the relief package are expected to be finalised within the next few weeks, with completion targeted by year-end. He highlighted that excluding government dues, VI’s leverage remains very low and that AGR relief, supported by strong cash flows, should enable the company to raise fresh debt.

According to CITI, these statements help reduce uncertainty around the timing and structure of the government’s support package and present a compelling buying opportunity for Indus Towers.

Earlier, after its September quarter earnings, CITI noted that the Supreme Court clarification allowing the government to reassess and reconcile all past AGR dues up to FY2017, including interest and penalties, could help Vodafone Idea finalise its pending debt raise.

As of September 30, 2025, Vodafone Idea’s debt from banks was at ₹1,530 crore, and the cash and bank balance stood at ₹3,080 crore.

During its Q2 earnings, in a financial performance note, Vodafone Idea mentioned that its ability to settle debt liability is dependent on government support, fundraising and cash flow generation from operations. The government holds a 49% stake in the company.