If you are a vodafone customer, your pocket may be empty..!?
Vodafone idea Company is expected to increase its rates soon. vodafone idea Company has been stuck in a big financial crisis since the beginning and is planning to raise investments. It is also expected to sell its shares to the government amid the ongoing financial crisis. Meanwhile, telecom companies have started 5g operations. There are also reports that vodafone is planning to raise funds amid fears of cash shortages. In september 2023, it is expected that there will be a cash deficit of Rs 9400 crore. Meanwhile, to raise funds to data-face the cash crunch, as well as increase revenue, it is expected that the rate increase will be done soon. The loss-making telco needs to raise fresh capital soon. If it doesn't raise such funds, it will be forced to increase its borrowings to repay the debt of Rs 9,600 crore in the next 12 months.
Since 2020, the company has been planning to raise Rs 20,000 crore through equity debt. Earlier this fiscal, companies including Aditya Birla Group Plc and vodafone idea issued shares worth Rs 4,500 crore. However, as the funding requirement is still high, there is still scope for further rate hikes. According to the company, by september next year, the company has to pay off debt worth around Rs 9600 crore. But the total cash balance is only Rs 200 crore. The company needs more funds to offer 5g services like its competitors.So without increasing the capital, vodafone cannot improve its growth. Goldman Sachs said it is forced to raise its rate by 35 rupees by september 23. Additionally, the company has an obligation to repay the loan. This can further increase the pressure. But Vodafone's performance is still under pressure. vodafone idea Company has to be competitive to perform like its competitors. For this, capital investment and tariff increases must be mandatory. While rival companies have already started operations as 5g services, vodafone has not yet given a timeline for the same.Akshay Moondra, CEO of vodafone, said that if vodafone can raise funds as soon as possible, it will be able to offer its 5g service soon. Meanwhile, vodafone has started expanding its retail service centers. It said it is continuing to focus on expanding its presence in Maharashtra, tamil Nadu, Kerala, West Bengal, and Uttar Pradesh, particularly in rural areas. Through these retail service centers, the center will be located in many areas including Indapur in Maharashtra, Usilambatti in tamil Nadu, Baiyoli in Kerala, hapur in West Uttar Pradesh, etc. Through this, customers can get all the services and offers directly and easily.