Indus Towers shares gain over 8% as Jefferies maintains ‘buy’
In the previous trading session, Indus Towers closed down 18.09 percent or Rs 45.45 at Rs 205.75
February 25, 2022 / 12:39 PM IST
Indus Towers share price rose over 8 percent to Rs 223 intraday on February 25 after foreign research firm Jefferies maintained the 'buy' call on the stock.
Jeffery's has, however, cut the target price to Rs 295 from Rs 320 per share.
In the previous trading session, Indus Towers closed down 18.09 percent or Rs 45.45 at Rs 205.75.
According to firm, the Vodafone's stake sale may be a near-term overhang, while risk-reward is very favourable after a steep correction. The stock is factoring no rental escalation from the next renewal cycle.
British telecom giant Vodafone Plc on February 23 announced that it would sell a 2.4 percent stake in Indus Towers through a block deal to telecom major Bharti Airtel. The two telecom giants are the company's promoters. Vodafone holds about 28 percent, while Bharti Airtel holds close to 42 percent in Indus Towers.
Vodafone was in discussions to sell around a 5 percent stake in Indus Towers to Bharti Airtel, according to a PTI report. The stake is estimated to be valued at over Rs 3,300 crore, and the proceeds will be pumped into the Indian entity Vodafone Idea, the report said.
At 12:15pm, Indus Towers was quoting at Rs 216.40, up Rs 10.65, or 5.18 percent, on the BSE.
