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Vodafone Idea hits 3-month high, surges 19% in two days on heavy volumes

To improve its network performance Vi has partnered with HCL Software, the software business unit of HCL Technologies, to make its 4G and 5G networks smarter and more efficient

Vodafone

Vodafone(Photo: Shutterstock)

Deepak Korgaonkar Mumbai

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Shares of Vodafone Idea (Vi) hit a three-month high of Rs 9.18, as they rallied 11 per cent on the BSE in Wednesday’s intraday trade amid heavy volumes. In two days, the stock of the telecom services provider has surged 19 per cent. It is quoting at its highest level since October 17, 2024. It has bounced back 39 per cent from its 52-week low of Rs 6.60 touched on November 22, 2024.
 
At 12:34 PM, Vi was trading 10 per cent higher at Rs 9.11 on the BSE, as compared to the 0.36 per cent rise on the BSE Sensex. The average trading volumes on the counter more than doubled, with a combined 923 million equity shares being transacted on the NSE and BSE.
 
 
Vodafone Idea is an Aditya Birla Group and Vodafone Group partnership. It is amongst India’s leading telecom service providers. The company provides pan-India voice and data services across 4G and 2G platforms. The company holds a large spectrum portfolio, including mid-band 5G spectrum in 17 circles and mmWave 5G spectrum in 16 circles.
 
To improve its network performance, Vi has recently partnered with HCL Software, the software business unit of HCL Technologies, to make its 4G and 5G networks smarter and more efficient. 
 
HCL Tech informed the stock exchange that Vi has partnered with HCL Software to make its 4G and 5G networks smarter and more efficient. "Vi is now using HCL Augmented Network Automation (HCL ANA), a multi-vendor self-optimising network (MV-SON) platform, to manage its Ericsson and Samsung networks. This advanced technology will help Vodafone Idea to improve network performance, save energy, and offer better services to its customers," the company said.
 
The HCL ANA platform uses Artificial Intelligence (AI) to simplify the management of Vi’s complex multi-vendor, multi-technology and multi-layered network to ensure smooth integration and efficient network operations. The platform is also SMO ready (ORAN), making the investment future-proof, it added.
 
This collaboration brings several benefits to Vi and its users. The HCL ANA platform has an open architecture and empowers Vi to manage and automate its network independently, reducing dependency on OEM-specific features and applications. It helps save energy, reducing costs and making the network more sustainable. Most importantly, Vi customers will experience a faster and more reliable network, HCLTech said in the statement.
 
Meanwhile, on January 9, 2025, the Capital Raising Committee of the board, allotted 1,693 million equity shares of face value of Rs 10 each at an issue price of Rs 11.28 per equity share (including a premium of Rs. 1.28 per equity share), to Omega Telecom Holdings Private Limited (1,084.6 million equity shares) and Usha Martin Telematics Limited (608.6 million equity shares), promoters of Vi, aggregating to Rs 1,909.95 crore, on a preferential basis.
 
While the recent hike in telecom tariffs increased average revenue per users (ARPUs), Vi’s revenue rose only marginally in the September quarter (Q2FY25). The company expects the impact of the tariff increase to continue to be seen in ARPU and revenue for the next two quarters. However, it expects the subscriber base to grow with the expansion of its 4G coverage and roll-out of 5G in key geographies, Q4FY25 onwards. Further, its fund-raising proposal, through the issuance of equity share or convertible securities, are expected to support its expansion plan as well as pay down debt, Geojit Financial Services said in the company's Q2 results update.
 
The company contracted the US-based Genesys to implement advanced cloud CX and telecom solutions. Also, Vi Business, under its Hybrid SD-WAN portfolio, partnered with Infinity Labs to build locally manufactured SD-WAN solutions. This will provide protection to enterprises in India against cyber attacks by integrating AI-based security features. The company has signed deals totaling Rs 30,000 crore with Nokia, Ericsson and Samsung for network equipment supply for three years.
       

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First Published: Jan 15 2025 | 1:00 PM IST

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