Kumar Mangalam Birla has stepped down as the chairman of struggling carrier Vodafone Idea Ltd.
The board accepted Birla’s request to step down as a non-executive director and the non-executive chairman of Vodafone Idea from Aug. 4, the telecom operator said in an exchange filing.
Himanshu Kapania, a nominee of the Aditya Birla Group, has been appointed the non-executive chairman.
The board also appointed Sushil Agarwal, a nominee of Aditya Birla Group, as an additional director.
Birla had written to the the government on June 7 seeking immediate support for Vodafone Idea. The carrier’s survival is in doubt after the Supreme Court did not allow telecom operators’ plea to correct pending dues. Vodafone Idea’s liabilities surged after the top court last year allowed the government to levy statutory dues on non-core revenue as well.
A recent report by ICICI Securities had said that Vodafone Idea had liabilities worth Rs 23,200 crore coming up for repayments within the next 12 months. In comparison, the company’s liquid assets include Rs 350 crore cash and cash equivalents, and land and tax refunds worth Rs 3,000 crore.
This is a developing story
