Nokia Solutions Sells 0.95% Stake in Vodafone Idea for Rs 786 Crore

Nokia Solutions and Networks India sold nearly 1% of its holding in Vodafone Idea, offloading 102.7 crore shares, amounting to a 0.95% stake for Rs 785.67 crore. The shares were sold at an average price of Rs 7.65 each. According to bulk deal data from the National Stock Exchange (NSE), the transaction marked a significant reshuffling of stakes in the telecom company.

Highlights

• Nokia Solutions sold a 0.95% stake in Vodafone Idea for Rs 785.67 crore.

• The shares were sold at Rs 7.65 per share.

• Goldman Sachs emerged as the key buyer, acquiring 59.86 crore shares for Rs 457.96 crore.

Goldman Sachs Becomes Key Buyer

Goldman Sachs, the global investment giant, emerged as a key buyer in this transaction. The firm picked up 59.86 crore shares, representing a 0.55% stake in Vodafone Idea for Rs 457.96 crore at the same price of Rs 7.65 per share. While Goldman Sachs was identified as the main buyer, the details of other buyers were not immediately disclosed.

Highlights

• Goldman Sachs purchased 59.86 crore shares, amounting to a 0.55% stake.

• The purchase was valued at Rs 457.96 crore at Rs 7.65 per share.

Background of the Transaction

This sale follows a prior share allotment by Vodafone Idea, which had issued shares worth Rs 2,458 crore to Nokia India and Ericsson India last year to clear some of its outstanding dues. As a result, Nokia India now holds a 1.5% stake, while Ericsson India owns 0.9%.

The move to offload part of its stake by Nokia Solutions is part of the broader financial adjustments made by Vodafone Idea, as it continues to navigate financial challenges in the highly competitive Indian telecom market.

Highlights

• Last year, Vodafone Idea allotted shares worth Rs 2,458 crore to Nokia India and Ericsson India to settle dues.

• Nokia holds a 1.5% stake, and Ericsson holds a 0.9% stake after the allotment.

Vodafone Idea’s Recent Stock Performance

On the day of the stake sale, Vodafone Idea’s shares closed at Rs 7.4, down 6% from the previous day’s closing price on the NSE. Over the last three months, the stock has seen a 21% drop, reflecting ongoing concerns about the company’s financial health and competitive positioning in the market.

Highlights

• Vodafone Idea shares closed at Rs 7.4, 6% lower than the previous session.

• The stock has fallen by 21% in the last three months.

Strategic Deal with Cisco for Network Overhaul

In a separate development, Vodafone Idea announced a strategic partnership with Cisco on April 24, aimed at overhauling its core transport network infrastructure. This move is part of Vodafone Idea’s preparations for expanding 4G and 5G services across India.

Under the deal, the company will deploy a Multiprotocol Label Switching (MPLS)-based transport network, powered by Cisco’s technology. The upgrade is designed to enhance network reliability, automate critical functions, and optimize traffic flow to improve service delivery and allow quicker adaptations to market demands.

Highlights

• Vodafone Idea has partnered with Cisco to overhaul its core transport network.

• The collaboration focuses on 4G and 5G expansion through MPLS-based technology.

• The upgrade will improve network reliability and optimize traffic flow.