SBI Supports Vi's Funding Push as Full Syndicate Closing Nears Vodafone Idea’s long push to fund its network turnaround has cleared its most significant hurdle yet, with the State Bank of India signaling its readiness to process and sanction its share of the telco’s funding. This development marks a pivotal moment for the company, which has spent two years rebuilding lender confidence. The breakthrough came through a strategic compromise: Vi agreed to route bank guarantees through its promoter companies, a move that provides lenders with added reassurance despite the guarantees not fully covering SBI’s exposure. The terms also include a condition that guarantees be released only after four consecutive years of clean performance, a condition SBI has reportedly accepted. The promoter side has also shown growing momentum. As of March 2026, promoters collectively hold 25.64% of Vi, with Vodafone Group Plc owning 19% and the Kumar Mangalam Birla-led Aditya Birla group holding 6.63%. The Government of India’s 49% stake is classified separately as public shareholding. Birla highlighted this support in the company’s FY26 annual report, citing the ₹3,300 crore raised through non-convertible debentures ahead of the AGR resolution as proof of “unequivocal promoter support.” He also noted that “confidence among investors and lenders strengthened during the year.” This confidence is now spreading across the broader lending group. Vi CEO Abhijit Kishore outlined the company’s funding strategy during an August 11 post-earnings call, describing three parallel funding cohorts: six to seven public-sector banks led by SBI, a group of Indian private banks, and external commercial borrowings from foreign lenders.#aditya_birla_group #state_bank_of_india #vodafone_idea #abhijit_kishore #ericsson
