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Idea Cellular gains on plan to invest Rs 5,500 crore capex in FY16

14 May 2015 Evaluate

Idea Cellular is currently trading at Rs. 170.50, up by 2.30 points or 1.37% from its previous closing of Rs. 168.20 on the BSE.

The scrip opened at Rs. 169.30 and has touched a high and low of Rs. 171.00 and Rs. 166.65 respectively. So far 172050 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 203.90 on 17-Apr-2015 and a 52 week low of Rs. 129.80 on 27-Jun-2014.

Last one week high and low of the scrip stood at Rs. 177.20 and Rs. 165.15 respectively. The current market cap of the company is Rs. 61204.90 crore.

The promoters holding in the company stood at 42.27% while Institutions and Non-Institutions held 29.23% and 28.50% respectively.

Idea Cellular, one of the biggest cellular carrier of the country, is planning to invest around Rs 5,500 crore as capex for the current fiscal (FY16). The investments will be towards strengthening its infrastructure including setting up of new ones across circles like Delhi and Kolkata, where Idea has begun providing 3G services through its own network.

Meanwhile, the company is looking to invest around Rs 380 crore this fiscal for capacity (network) expansion in Kolkata and Rest of Bengal. Around 1,200-plus 2G towers will be set up this fiscal across these two circles. The company does not have any immediate plans to foray into the 4G space despite having spectrum in ten circles.

Idea Cellular, an AV Birla group company, provides Global System for Mobile communications (GSM)-based wireless service at the pan-India level, it is present in all 22 telecom circles.

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