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The company says that it remains firmly committed to its operations in India
Vodafone Idea has spoken out against rumours that it is planning to quit the Indian market, calling them "unfounded" and "baseless".
On Thursday Evening, Vodafone Idea issued a statement to the press, reaffirming its commitment to the Indian market.
"Vodafone is aware of the unfounded and baseless rumours circulating in some of the Indian media that we have decided to exit the market. We would like to categorically state that this is not true and is malicious," Vodafone group said in a statement on Thursday.
Vodafone Idea’s share price rallied by over 10 per cent on the news, giving some much-needed respite for shareholders.
India remains one of the most competitive telecoms markets in the world, with operators struggling to balance the high intensity capital investment demands of network upgrades, with wafer thin operating margins.
Vodafone India and Idea Cellular merged last year, immediately creating India’s biggest telco by subscribers. In the 14 months since the merger, Vodafone Idea has relinquished its crown as India’s biggest telco to the country’s disruptive operator, Reliance Jio. It has also seen its share price plummet over that period, from a high of 26.91 rupees in November 2018 to just 4.20 rupees today.
