Shares of beleaguered telecom company Vodafone Idea jumped over 2% in early trade on Wednesday, December 31, amid media reports that the Union Cabinet could consider the Adjusted Gross Revenue (AGR) matter today.
According to a report by The Times of India, the Union Cabinet plans to take up the matter of Vodafone Idea’s bailout plan in today’s meeting as it looks to ease the financial challenges that the company faces. The Cabinet is likely to give relief on interest and penalty levied on the company for its AGR dues, the report added.
Mint, however, could not independently verify this report.
On Tuesday, Union telecom minister Jyotiraditya Scindia also told PTI that the government has been making an effort to revive Vodafone Idea and BSNL to prevent the market from getting into a duopoly and continue to keep the market competitive to protect the interests of consumers.
Any relief from the Cabinet could prove to be a lifeline for Vodafone Idea, which has approximately ₹2 lakh crore in outstanding government dues.
Vodafone Idea dues
In October, the Supreme Court allowed the government to reassess Vodafone Idea’s AGR dues, giving a breather to the company.
Vodafone Idea, in its petition before the apex court, had said its AGR liability was ₹83,400 crore as of March 31, 2025, and it has to pay ₹18,000 crore annually starting from March 2026 for the next six years.
Vodafone Idea share price trend
Vodafone Idea share price rose as much as 2.07% to ₹12.32, also its 52-week high level. So far this year, the telecom stock has seen a massive 52% rise, according to data available on BSE.
Anshul Jain, Head of Research at Lakshmishree, said that Vodafone Idea stock is consolidating in a flag-like structure just below the major resistance at 12.4, signaling pressure build-up at a critical supply zone.
“The consolidation remains tight, suggesting sellers are getting absorbed rather than dominating. Trend structure is improving, but confirmation is still pending. A decisive move above 12.4, backed by heavy volumes, is essential to validate a fresh breakout and confirm institutional participation. If this trigger is met, the stock can quickly move toward the weekly order block near 15.05, where supply is expected to re-emerge,” he added.
Without strong participation, any breakout attempt risks failure; therefore, he suggested investors remain in wait-and-watch mode, with risk defined below the flag base.
Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
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