Shares of telecom companies in Monday’s session (January 20) traded with significant gains amid reports that the centre is considering a waiver on adjusted gross revenue (AGR) dues for telecom companies.
- $TRUMP coin: Is Donald Trump’s meme coin a crypto gimmick or a hidden gem?
- Reliance Jio Partners with Polygon Labs to Drive Web3 Adoption for 450 Million Users
- Gold price today: MCX gold price ₹700 away from all-time high. Will it hit new highs amid US inflation concerns?
- Reliance share price jumps 3% after strong Q3 2025 results
- Sterling resumes losses before growth data
Vodafone Idea shares at around 10:52 am traded higher by over 8 per cent at Rs 9.86 per share on the BSE, while at the day’s high it hit levels of 10.48, gaining nearly 15 per cent intraday. The stock has been on run despite the subdued market sentiment and in the past 5 sessions has climbed over 35 per cent- taking today’s day high price.
Similarly shares of Tata Teleservices (Maharashtra) were up around 12 per cent at Rs 79.43. At the day’s high, shares of Tata Tele touched Rs 81.48 apiece on the BSE.
Meanwhile, Bharti Airtel shares traded with gains of 0.5 per cent at Rs 1,636.2 per share, while its day high price scaled during the day is Rs 1,643.5.
Reportedly, the government is considering a proposal to give 50 per cent discount on the interest on AGR dues and 100 per cent rebate on penalty. This decision, if taken through, will provide a big relief of as much as Rs 1 lakh crore to telecom companies.
In October 2019, the apex court Supreme Court of India ruled in favour of the Department of Telecom (DoT) and ordered telecom companies to pay adjusted gross revenue (AGR) dues of Rs 1.47 lakh crore.
Notably about 75 per cent of the dues comprise interest, penalty and penalty on interest.
Likely relief in AGR dues for telecoms
Company Amount
Vodafone Idea Rs 52,000 crore
Bharti Airtel Rs 38,000 crore
Tata Teleservices `Rs 14,000 crore
Additionally, the annual cash payout burden for Bharti Airtel and Vodafone Idea could reduce by ₹8,400 crore and ₹11,500 crore, respectively.
IIFL Securities remains positive on Bharti Airtel, Indus Towers, and Hexacom. It also suggested there is a strong likelihood of the government converting part of Vodafone Idea’s dues into equity.
Out of the 22 analysts that have coverage on Vodafone Idea, 13 of them have a ‘Sell’ recommendation on the stock, five of them say ‘Hold’, while four have a ‘Buy’ rating on the counter.
Shares of Vodafone Idea are locked 14.93% higher at ₹10.47. The stock is now up 36% from its FPO price of ₹11 but is down 22% from its 2024 peak of above ₹19.18 per share.