Yesterday, rating agency, CRISIL revised its credit rating for Vodafone Idea. It has downgraded its rating on Non-Convertible Debentures of Rs. 6,000 crores and has re-affirmed its rating on CP Programme of Rs. 2,000 crore of erstwhile Vodafone Mobile Services Limited (VMSL), which has since been migrated to Vodafone Idea Limited (the Company) pursuant to amalgamation of VMSL with the Company.
CRISIL has stated in its report that the downgrade reflects continued pricing pressure in the mobile telephone industry, leading to weak operating performance and it expects the net debt to stay over Rs.85,000 crore by end of FY19.
Following this downgrade, naturally, the stock price is beaten down today, figuring among the top five losers on the BSE. Vodafone Idea slipped over 3.5% to Rs.36, not too far from its 52-week low of Rs.32.