New Delhi:Idea Cellular on Friday proposed a new name for the combined entity as “Vodafone Idea Ltd" post its merger with Vodafone India, the Aditya Birla Group firm said on Friday.
The combined entity will create India’s largest telecom firm. “... consent of the members be and is hereby accorded for change of name of the company from ‘Idea Cellular Limited’ to ‘Vodafone Idea Limited’," Idea Cellular said in a regulatory filing.
The EGM of the company will be held on 26 June to decide the change in the name of the company.
Following issuance of the fresh certificate of incorporation by the Registrar of Companies the old name “Idea Cellular Limited" will be replaced as “Vodafone Idea Limited".
Idea and Vodafone India are in process of merging their businesses. According to official sources, the approval for merger by the Department of Telecom is in final stages.
Vodafone is expected to own 45.1%, 26% by Aditya Birla Group and Idea shareholders will own 28.9 in the combined entity. The merged entity will have around 430 million mobile subscribers from Day 1.
Besides, change in name, the EGM will also discuss raising of ₹ 5,000 crore fund by the company through NCDs. “...consent of the Members be and is hereby accorded to the Board of Directors of the Company...to offer or issue from time to time, Non-Convertible Securities including but not limited to NCDs, secured or unsecured, in one or more series or tranches aggregating up to an amount not exceeding ₹ 15,000 crores," the notice said.
The company will seek approval of EGM to raise fund on private placement basis within one year from the date on which resolution is passed.