June 4, 2025 | Business Desk — Ericsson India Pvt Ltd has divested its 0.6% stake in Vodafone Idea (Vi) through a bulk deal, raising approximately ₹428.43 crore. The Swedish telecom gear maker sold 63.37 crore shares at ₹6.76 apiece on the National Stock Exchange (NSE) on Tuesday.

🧾 Deal Snapshot

• Seller: Ericsson India Pvt Ltd

• Volume Sold: 63.37 crore shares

• Price per Share: ₹6.76

• Total Deal Value: ₹428.43 crore

• Stake Sold: ~0.6% in Vi

At the close of trading, Vodafone Idea shares ended the day 3.69% lower at ₹6.78 on the BSE. As of now, buyer identities remain undisclosed, and both Vi and Ericsson India have not issued official comments on the transaction.

🔁 Pattern of Stake Exits: Nokia Sold Stake in April

The move follows a similar bulk deal by Nokia Solutions and Networks India Pvt Ltd in late April, when it sold 102.7 crore shares (around 0.95% stake) in Vi for ₹785.67 crore, at ₹7.65 per share. The buyers in that transaction included top global investment banks like Goldman Sachs.

Both Ericsson and Nokia had originally acquired their stakes in Vi through a preferential share issue conducted in 2023 as part of a debt-settlement plan by the cash-strapped telecom operator.

💰 Preferential Issue for Vendor Dues

Last year, Vi allotted:

• 63.37 crore shares to Ericsson at ₹14.80/share to settle ₹938 crore in dues

• 102.7 crore shares to Nokia at the same rate to settle ₹1,520 crore

The combined preferential allotment of shares worth ₹2,458 crore aimed to partially clear Vi’s longstanding debts to its network vendors.

Following the issue, Nokia and Ericsson held 1.47% and 0.9% stakes in Vi, respectively. However, these holdings were diluted after the Indian government increased its own stake in the telco.

🏛️ Government Stake Rises to 49%

In February, the Indian government converted ₹36,950 crore of Vi’s deferred spectrum dues into equity, increasing its stake from 22.6% to 49% — making it the largest shareholder in the telecom company.

This conversion was part of a revival strategy to ease Vi’s debt burden and provide cash flow relief for the next three years.

According to people familiar with the matter, the equity conversion diluted Nokia’s stake to 0.95% and Ericsson’s to below 0.6%, prompting their respective exits.

🔍 Market Outlook and Implications

📊 Stock Movement:

• Vi shares: Closed at ₹6.78 (down 3.69%)

• 52-week high: ₹18.40

• 52-week low: ₹6.40

The divestments by Ericsson and Nokia signal a cautious outlook from Vi’s former key vendors, despite recent government support.

However, some analysts believe the stake sale may not reflect a negative stance, but rather a planned monetization of non-core assets by global vendors.