Idea's long term strategy is volume led profit growth and is confident of delivering double digit volume growth post monsoon, says Himanshu Kapania, MD of the company.
One of the key drivers for AB Group restructuring is to try and provide the right platform for the future growth of its financial services business, says Raj Balakrishnan, Managing Director, Investment Banking, BofAML.
Nitin Soni of Fitch Ratings said the house has a negative outlook on the Indian telecom sector and believe that as Reliacne Jio launches its operations there could be a reduction in data tariff by 10-15 percent.
Telecom stocks have been under pressure lately as industry majors Airtel and Idea announced a major price cut for their data plans, ahead of Reliance Jio's launch on August 15.
Idea Cellular, India's fastest growing telecom operator, has now slashed the rates of its 4G, 3G BIG Internet packs by up to 67 percent, providing more value to heavy internet users who consume data packs of 2GB to 10 GB.
Nitin Soni, director, Asia-Pacific corporate ratings at Fitch-Ratings says while 700 MHz is a nice spectrum to have, it is not a must have, and hence participation in this round of auction may be limited
Idea is especially in the limelight after it announced its third quarter numbers on Thursday.
India's third-biggest mobile phone operator Idea Cellular launched fourth-generation (4G) mobile phone services across South India on Wednesday. The company hopes to cover all towns and cities in Andhra Pradesh, Karnataka, Kerala, Tamil Nadu and Telangana by March 2016
Venugopal Dhoot Chairman of Videocon told CNBC-TV18 says that the cash from the deal will be utilized partly to reduce the company‘s debt and partly for business development.
Laura Acres of Moody's says pricing pressure is likely to continue ahead of the Reliance Jio launch and even after that. Telecom operators are now trying to get as many 4G users as possible before the Jio launch, she adds
Former chairman of State Bank of India AK Purwar says even larger banks will start feeling the heat and pinch of this, not just midcap and small banks. In a neck and neck competition, he says: â€œIt will become a question of survival of the fittest.â€
The Aditya Birla Group Company, Idea Cellular is all set to launch the 4G services from January, 2016. The company will be launching 4G in ten circles.
In an exclusive interview to CNBC-TV18‘s Malvika Jain, Garg said he is confident that telecom companies will be able to raise debt from the market
Speaking to CNBC-TV18, Idea MD & CEO Himanshu Kapania said its debt post auctions will rise by 70 percent and net debt to EBITDA ratio will go up to a whopping 3.5-4 from the current 1.1.
Discussing the final outcome of spectrum auction, Jaideep Ghosh of KPMG said the bids were as per expectations as telcom companies had to renew their licences. He feels the auction has set forward new industry dynamics for the next 20 years.
The telecom spectrum auctions are nearing conclusion post extensive bidding. The government has managed to raise over Rs 1 lakh crore. How will the telecom companies manage debt levels, and is a tariff hike on the cards? Romal Shetty, Partner & Head of Telecom at KPMG discuss the implications.
Analysts said top telecom companies may spend about USD 3-4 billion at the spectrum auction today. But the balance sheet positions are comfortable, they add.
On cash availability, Himanshu Kapania, MD of Idea Cellular says the company is well-placed to renew existing spectrums in 900 MHz band. In its Q3 results, the company reported cash profit of around Rs 2,000 plus crore. Next year it expects to generate Rs 10,000 crore cash profit.
Naveen Kulkarni of PhillipCapital does not think Idea Cellular and Vodafone will bid aggressively for the 2100 MhZ band. Bharti will be active in the space, he adds.
Himanshu Kapania, MD, Idea Cellular, said the company will bid for some circles in upcoming 3G auction and remaining at a later date. He expects the auction strategy to remain aggressive and competitive.
The overall spectrum capacity of the company stands at 253 MHz. 60 MHz is coming up for renewals, says Himanshu Kapania, MD, Idea Cellular.
Prashant Singhal of EY fails to understand why the DoT committee has finalised reserve price higher than the one recommended by Trai. This move will only increase the pressure on telcos, he says.
The company remains focused on revenue growth of its mobility business and is confident of delivering strong EBITDA in FY15 as compared to FY14, said Himanshu Kapania, MD, Idea Cellular.
In an interview with CNBC-TV18‘s Anuj Singhal and Ekta Batra, Idea Cellular MD Himanshu Kapania spoke about the recent spectrum auctions, the financial shape of telecom companies, especially idea and what the spectrum acquisition means for the company.
If Airtel doesn‘t win the auctions, Ankur Rudra, vice president, Ambit Capital, says it will have to move its network and customers back to 1,800 MHz and that could lead to a lot of capex because the company would have to reconfigure its network significantly.