The bonds are slated to mature on July 10, 2020. Before the segregation, the scheme exposures to these bonds stood at Rs 1,124.2 crore (as on December 31, 2019). Other Vodafone Idea
bonds held in FT MF schemes are maturing in September, 2023.
in a note said that Vodafone Idea made the annual interest payment of Rs 12.38 crore in UTI Credit Risk Fund. The fund house created a segregated portfolio of Vodafone Idea on February 17, 2020, with 65 per cent marked down.
According to people in the know, Nippon
India MF had also received the payments. Before creation of a segregated portfolio, the Nippon
India’s Hybrid Bond Fund had exposure of Rs 39 crore (as on January 31, 2020) to the debt paper of Vodafone Idea. The fund house has exposure to other papers of Vodafone Idea in its Strategic Debt Fund and Credit Risk Fund.
Vodafone Idea was downgraded to ‘BB-’ by CARE ratings
(below investment grade) on February 17, 2020, following the SC's decision pertaining to the definition of AGR, which led to a liability of around Rs 44,150 crores on Vodafone Idea.
The recovery proceeds will be credited to the investors’ accounts in proportion to their holdings.
According to the SC's order on June 11, the apex court will consider a reasonable time frame along with securities, undertakings, and guarantees which would be required to be furnished by the telecom service providers on the next hearing date, which is June 18.