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BullDigest's May 17 Post-Market Summary of Vodafone Group Plc

  • 17.05.2025 22:13
  • bulldigest.com
  • Keywords: Post-Market, Summary, Vodafone Group Plc

Check out BullDigest's May 17 Post-Market Summary of Vodafone Group Plc. We provide a summary of the key news from market opening hours.

Post-Market SummaryDTEGF

Estimated market influence

Vodafone Idea (Vi)

Negativesentiment_dissatisfied
Analyst rating: N/A

warned DoT, may cease operations without government assistance on AGR dues. Proposed restructuring plan and payment moratorium. Impact on telecom sector if no support.

Deutsche Telekom

Deutsche Telekom

Neutralsentiment_neutral
Analyst rating: Buy

few expansion announcements

OXG

Neutralsentiment_neutral
Analyst rating: N/A

joint venture with Vodafone for fibre connections

1&1

Negativesentiment_dissatisfied
Analyst rating: N/A

lost customers due to coverage issues

o2-Telefónica

Neutralsentiment_neutral
Analyst rating: N/A

added 5G stations in various regions

DoT

Neutralsentiment_neutral
Analyst rating: N/A

received warning from Vodafone Idea (Vi) on AGR dues

NCLT

Negativesentiment_dissatisfied
Analyst rating: N/A

insolvency proceedings mentioned

Supreme Court

Neutralsentiment_neutral
Analyst rating: N/A

hearing Vi's AGR dues waiver petition

Mukul Rohatgi

Neutralsentiment_neutral
Analyst rating: N/A

representing Vi in Supreme Court

Context

Business Insights and Market Implications Summary

Vodafone Idea (Vi) Financial Crisis

  • Warning to DoT: Vi informed the Department of Telecommunications (DoT) on April 17, 2025, that it may halt operations post-FY26 without government assistance on AGR dues.
  • Key Demands: Vi seeks:
    • ₹30,000 crore AGR dues waiver
    • 20-year payment plan for remaining dues
    • 5-year moratorium on payments until FY30
    • Relief on spectrum-related payments
  • Payment Proposal: Vi proposed paying ₹17,213 crore (FY19 AGR dues) upfront and waiving interest/penalties, with the remaining ₹7,852 crore paid interest-free over 20 years starting FY31.
  • Consequences of No Support:
    • Operational shutdown and stalled capital expenditure
    • Loss of service for 200 million users
    • 30,000 job losses
    • Worthless government equity stake (49%)
    • Potential insolvency under NCLT
  • Impact on Telecom Sector:
    • Risk of a duopoly in the Indian telecom sector
    • Reduced consumer choice and competition
    • Adverse impact on spectrum auction viability

Supreme Court Hearing

  • Date: May 19, 2025
  • Representation: Mukul Rohatgi will argue Vi's AGR dues waiver petition.

German Telecom Expansion Updates

General Overview

  • Deutsche Telekom: No major expansion announcements.
  • Vodafone:
    • Major rebuild underway
    • Fibre connections via OXG joint venture in North Rhine-Westphalia
  • 1&1: Lost customers due to coverage issues.
  • o2: Expanding nationwide from 5G to 700 MHz (band n28).

Regional Updates

Baden-Württemberg

  • Vodafone: 15 projects completed, 38/72 stations sending 5G/NR.
  • o2-Telefónica: Added 5G stations (3600 MHz in Salach, 700 MHz elsewhere).

Bavaria

  • Vodafone: 3 projects completed, 44/63 stations sending 5G/NR.
  • o2-Telefónica: Added 5G stations (3600 MHz in Manching, 700 MHz elsewhere).

Hessen

  • Deutsche Telekom: Building a 50m concrete tower in Heimbach.
  • o2-Telefónica: Added a 5G station (3600 MHz in Wiesbaden).

Lower Saxony

  • Vodafone: Modernizing Cuxhaven-Groden station (temporary outage).
  • Completed 11 projects in Harburg, 41 stations sending 5G/NR.
  • Completed 14 projects in Diepholz, 44 stations sending 5G/NR.
  • o2-Telefónica: Added 5G stations (700 MHz in Vierhöfen and Hemmoor/Althenmoor).

North Rhine-Westphalia

  • Vodafone: Modernizing Dormagen station (potential outage).
  • Completed 22 projects, 68 stations sending 5G/NR in Northern Territory.
  • Completed 17 projects in Viersen, 50 stations sending 5G/NR.
  • o2-Telefónica: Added 5G stations (3600 MHz in Oberhausen, 700 MHz elsewhere).

Rhineland-Palatinate

  • Vodafone: Completed 3 projects, plans for Nochern (5G and LTE upgrades).
  • o2-Telefónica: Added a 700 MHz transmitter in Weißenthurm.

Saxony

  • o2-Telefónica: Added a 700 MHz radio cell in Pulsnitz.

Schleswig-Holstein

  • o2-Telefónica: Added 700 MHz transmitters in Stelle-Wittenwurth and Maasbüll.

Thuringia

  • Vodafone: Completed 15 projects, 35/51 stations sending 5G/NR.
  • o2-Telefónica: Added a 700 MHz station in Hohenstein OT Schiedert and Gehren.

No Announcements

  • Berlin, Brandenburg, Bremen, Hamburg, Saarland, and Saxony-Anhalt had no new announcements.