Supreme Court Blow: Vodafone Idea's $5 Billion Debt Plea Rejected

In a significant development, India's Supreme Court has denied Vodafone Idea's petition seeking a waiver of over $5 billion in government debt. This decision marks a major setback for the beleaguered telecom firm, which is the country's third-largest in the sector.

Alongside Vodafone Idea, a similar plea from the larger telecom rival Bharti Airtel was also rejected. However, the repercussions weigh more heavily on Vodafone Idea, as its stock took a nosedive of 10% following the court's ruling.

The case is rooted in the long-standing issue following a 2019 Supreme Court order, which expanded the definition of adjusted gross revenue, thereby inflating the financial obligations of telecom companies across India.

(With inputs from agencies.)