Vodafone Idea stock goes up amid Google investment talk
The investment in Vodafone Idea will pit the search giant against Facebook which has picked up a stake in Jio Platforms.
Shares of Vodafone Idea on Friday zoomed nearly 14 per cent amid reports of tech titan Google eyeing a minority stake in the British telecom group's struggling India business.
Intra-day, stock of the company rallied 34.87 per cent to ₹7.85 on the BSE. It later closed at ₹6.56, registering a sharp gain of 12.71 per cent.
On the NSE, it settled at ₹6.60, up 13.79 per cent after rising sharply by 34.48 per cent to ₹7.80 during the day.
The company's market valuation also jumped ₹2,127.42 crore to ₹18,850.42 crore.
The investment in Vodafone Idea will pit the search giant against Facebook which has picked up a stake in Jio Platforms, the firm that houses India's youngest but biggest telecom company - Reliance Jio.
Alphabet Inc's Google is looking to buy about 5 per cent stake in Vodafone Idea Ltd, the Financial Times reported on Thursday.
Both companies refused to comment.
The move assumes significance as Vodafone Idea -- where Vodafone holds just over 45 per cent stake -- is staring at nearly ₹58,000 crore in unpaid statutory dues.
Earlier in the day, the BSE sought clarification from Vodafone Idea with reference to the report.
"As part of corporate strategy, the company constantly evaluates various opportunities for enhancing the stakeholders' value. As and when such proposals are considered by the board of directors of the company warranting disclosures, the company shall comply with the disclosure obligations," Vodafone Idea said in the clarification statement.
Currently, there is "no proposal" as reported that is being considered at the board, it added.
"We wish to reiterate and clarify that the company will comply with Sebi Listing Regulations and duly keep the stock exchanges informed of all the price-sensitive information," it said.
Follow HT Tech for the latest tech news and reviews , also keep up with us on Twitter, Facebook, Google News, and Instagram. For our latest videos, subscribe to our YouTube channel.