ICICI Securities: Final AGR Judgement - Will Operators Go For Curative Petition?

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Report.A three- judge bench of the Supreme Court has resolved the adjusted gross revenue case and given the final supplementary order.In mixed order, Bharti Airtel Ltd. and Reliance Jio have been absolved from any AGR liability arising from spectrum traded with Aircel Ltd. and Reliance Communications Ltd.However, Bharti Airtel may be held liable for AGR dues of Videocon Industries Ltd. (Rs 15 billion or Rs 2.5/share).On payment terms, no additional security or personal guarantee is positive for Bharti Airtel and Vodafone Idea, however, 10 years payment period was disappointing.Further, court has asked to furnish 10% of total dues before March 31,2021.We do not see much cash flow pressure for Bharti Airtel, however, Vodafone Idea may struggle with rising cash flow requirements.Vodafone Idea may require significant rise in average revenue per user to remain going, which will be key to watch.We also expect operators going for curative petition for re-assessment of AGR dues..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

ICICI Securities: Final AGR Judgement - Will Operators Go For Curative Petition?

ICICI Securities: Final AGR Judgement - Will Operators Go For Curative Petition?

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