Idea Share Price Hit by Speculation of Merger

Idea share price dropped over 4% in today’s trade after the telecom major announced that it had not held any talks with Vodafone, as extensively speculated, on a possible merger with the second largest operator. The company declared that the news is untrue and preposterous.

Following the development, the Idea share price sank 3.77% to hit a low of Rs 97 on BSE and NSE both.

There were expectations that the merger between the second and third largest operators by subscriber base will help the amalgamated entity take on the leader, Bharti Airtel and would prevent the budding competition from Reliance Jio, which is set commercially start operations later this year.

On the hopes of the merger, Idea share price closed with a rise of 7% in yesterday’s trade.

But any such deal would have come across tough regulatory scrutiny. The prospect for any such approval was unlikely, as the companies would breach the 50% revenue market share limit in many regions of the country.

Currently, idea share price is trading at Rs. 98.05 with the dip of almost 3% while it opened at Rs. 98.60. Idea is among top 500 performers picked by Dynamic Levels for the quarter. The stock's previous close of Rs. 101 was around its closest resistance level of Rs. 105.80. The closest support level of the stock stands at Rs. 92.70. For details on the stock and resistance level of Idea, visit the ladder on the Idea share price history page of Dynamic levels or check the Idea share price forecast page.