By M. Sriram

MUMBAI (Reuters) -Funding agency GQG Companions and State Financial institution of India Mutual Fund are contemplating investing as much as $800 million in whole in a $2.16 billion share providing of Indian telecom agency Vodafone (NASDAQ:) Concept, in line with two folks aware of the matter.

U.S.-based GQG, run by India-born government Rajiv Jain, plans to speculate about $500 million, whereas SBI Mutual Fund is contemplating an funding of $200 million to $300 million within the follow-on public providing, mentioned each folks, who declined to be named because the plans are confidential.

GQG and SBI declined to remark whereas Vodafone Concept didn’t reply to queries looking for remark.

After the Reuters report, Vodafone Concept shares pared the day’s earlier losses of 4% to shut roughly flat at 12.95 rupees.

Debt-saddled Vodafone Concept was fashioned in 2018 when Vodafone Group (LON:) merged its India enterprise with native firm Concept Mobile in a $23 billion deal.

The corporate, by which Vodafone has a greater than 25% stake, is India’s third-biggest operator after Reliance Jio and Bharti Airtel, which have taken away its market share in recent times. India’s authorities is the biggest shareholder, proudly owning greater than 30%, after the corporate in 2022 transformed unpaid authorities dues to fairness.

It mentioned earlier on Friday the sale of latest shares will run from April 18 to April 22.

GQG and SBI Mutual Fund are contemplating investments beneath the institutional quota of what is going to be India’s greatest secondary providing. A last determination on their investments has not been reached.

Funding banks Jefferies, Axis Capital (NYSE:) and SBI Capital Markets are working the share sale.

Vodafone Concept plans to make use of the funds to increase its 4G community, arrange 5G networks and pay taxes and dues, it mentioned in its regulatory submitting this week.

GQG’s Jain has a latest monitor file of backing troubled firms with falling share costs and taking advantage of them. Final yr, he wager billions on Indian conglomerate Adani Group, after the group’s shares halved following a short-seller assault.

Shares of Adani Group firms have greater than doubled since.

GQG manages greater than $100 billion globally and $20 billion in India – most of it in recent times, with Jain placing a bullish be aware on the nation’s financial prospects in interviews.

Vodafone Concept’s board in February permitted a $5.4 billion fundraise through fairness and debt, meant to assist it increase and scale back stress on the debt-saddled firm.

Rivals Airtel and Reliance Jio have already launched 5G companies in most components of the nation.

Vodafone Concept’s shares have fallen 22% this yr, in contrast with the broader SENSEX index’s 3% rise.