As if taking cue from Vodafone Idea, Tata Teleservices (Maharashtra) Limited (TTML) on Tuesday informed that it has approved the conversion of interest payable on its deferred adjusted gross revenue (AGR) due into equity.
Once the conversion is done, the government holding is expected to be about 9.5 per cent in the company.
The net present value (NPV) of this interest is expected to be nearly Rs 850 crore as per the company’s best estimates, subject to confirmation by the department of telecom, the company said in a regulatory filing.
The promoter and promoter group held 74.36 percent of TTML’s equity as of September-end, while the public held 25.64 percent, as per data on the Bombay stock exchange (BSE) website.
TTML shares climbed 5 percent to a 52-week high of Rs 291.05 on the BSE at the close on January 11. The shares have surged from Rs 2.82 on October 16, 2020.
Earlier in the day, Vodafone Idea had said it has decided to opt for converting about Rs 16,000 crore interest dues liability payable to the government into equity, which will amount to around 35.8 per cent stake in the company.