Vodafone Idea will provide a corporate guarantee for ₹3,300 crore of unlisted, unrated, secured Non-Convertible Debentures (NCDs) issued by its subsidiary, Vodafone Idea Telecom Infrastructure Limited (VITIL). Additionally, the company will pledge equity shares of VITIL to secure the NCD issue. Vodafone Idea Communication Systems Limited (VICSL), another subsidiary, is also issuing a corporate guarantee. The Board approved these actions on December 9, 2025.
Corporate Guarantee for Subsidiary
Vodafone Idea Limited has approved the issuance of a corporate guarantee for up to ₹3,300 crore related to Non-Convertible Debentures (NCDs) by Vodafone Idea Telecom Infrastructure Limited (VITIL), a wholly-owned subsidiary. These NCDs are unlisted, unrated, secured, and redeemable. The decision was made during a board meeting held on December 9, 2025.
Details of the Guarantee
The corporate guarantee will be in favor of IDBI Trusteeship Services Limited, acting as the Debenture Trustee, to secure all payments due by VITIL regarding the NCD issuance. Vodafone Idea Communication Systems Limited (VICSL), another wholly-owned subsidiary, will also issue a corporate guarantee for the same purpose. This guarantee will be considered as a contingent liability of the company.
Pledge of Shares
Vodafone Idea will also execute a pledge agreement to create a pledge over the equity share capital of VITIL. This pledge includes shares held by the company and nominee shareholders, along with VICSL, representing 100% of VITIL’s share capital. The pledge is in favor of IDBI Trusteeship Services Limited, acting as the Debenture Trustee, to further secure the ₹3,300 crore NCD issue by VITIL.
Parties Involved
The parties involved in this transaction are Vodafone Idea Limited, Vodafone Idea Telecom Infrastructure Limited (VITIL), Vodafone Idea Communication Systems Limited (VICSL), Vodafone Idea Business Services Limited (VIBSL), Vodafone Technology Solutions Limited (‘VIBSL’) and IDBI Trusteeship Services Limited (‘Debenture Trustee’)
Source: BSE
