Debt-laden Vodafone Idea raised INR33 billion ($366.5 million) via the issuance of non-convertible debentures, with the funds to be used for payment obligations and to support business growth.

The operator noted the debentures, issued by subsidiary Vodafone Idea Telecom Infrastructure, were oversubscribed by a diverse group of investors, including non-banking financial companies, overseas portfolio investors and alternative investment funds.

CEO Abhijit Kishore stated the capital strengthens its momentum as it continues “to scale our network and enhance services”, adding the fundraising “reinforces investor confidence in our strategy and long-term vision”.

He noted it is holding discussions with banks about raising long-term debt to support capex.

The government is considering offering a moratorium on interest on its INR830 billion adjusted gross revenue (AGR) levies and reassessing its outstanding liabilities.

Vodafone Idea is the third-largest mobile player in India with 197 million subscribers at end-September, down from about 261 million in Q3 2020.