Vodafone Idea share price dips 20% from day's high after co clarifies on stake sale
Any such investment will provide a breather for Vodafone Idea which has been reeling under increasing financial stress.
May 29, 2020 / 02:57 PM IST
Vodafone Idea share price declined 20 percent from the day high level after company clarified on the media report stating Google eyeing stake in the company.
In the morning trade the share price surged 34 percent on May 29 after reports said that tech giant Google was looking to enter India's telecom market with a 5 percent stake purchase in Vodafone Idea.
At 14:52 hrs Vodafone Idea Limited was quoting at Rs 6.54, up Rs 0.72, or 12.37 percent on the BSE.
The stock price fell 20 percent from the day's high of Rs 7.85 per share.
Google was looking to make an investment in the embattled Indian telecom company, a report in the Financial Times said. Any such investment could prove to be a breather for Vodafone Idea which has been reeling under increasing financial stress. Vodafone Idea is a product of a 2018 partnership between the Aditya Birla Group and UK-based Vodafone Group.
The news comes soon after Facebook made its debut in the world's fastest-growing telecom market through its 9.99 percent stake purchase in Jio Platforms.
The stock, which has zoomed more than 96 percent in the last three months, was quoting at Rs 7.59, up Rs 1.77, or 30.41 percent.
Jio Platforms has raised as much as $10 billion in investments from private equity groups including KKR, General Atlantic, Vista Equity Partners and Silver Lake, in addition to its deal with Facebook.
According to Moneycontrol SWOT Analysis powered by Trendlyne, Vodafone Idea has zero promoter pledge the stock showing strong momentum. Price is above short, medium and long-term moving averages. Moneycontrol's technical rating of the stock is very bullish.
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