Idea Cellular dips on huge volumes

A combined 3.96 million shares have changed hands on the coutner so far

Idea Cellular has dipped almost 8% to Rs 75.75 in noon trades on back of huge volumes. As many as a combined 3.96 million shares have changed hands on the counter so far, against an average around 2.5 million shares that were traded daily in past two weeks.

According to media reports, Aditya Birla Group telecom firm said that the telecom regulatory authority of India’s (TRAI) recommendations on spectrum re-auction were in “gross violation of the Supreme Court order cancelling 122 telecom licences” granted in 2008.

“Idea remains surrounded by lot of regulatory uncertainties after the cancellation of its licenses in nine circles. To regain its licenses in the auction, the company will have to incur additional costs, which will, in turn, hamper the overall profitability of the company,” analyst at Angel Broking said in its recent report.