Franklin Templeton debt funds receive Rs 148.75 crore from Vodafone Idea

Investors holding units of these schemes’ side pockets will receive the money in their bank accounts in the next few days.

On September 3, 2021, five Franklin Templeton AMC plans got Rs 148.75 crore in Vodafone Idea bonds. These bonds were held in these schemes’ separate portfolios. The money will be deposited into the bank accounts of investors who own units in these schemes’ side pockets in the coming days.

After credit rating agencies downgraded Vodafone Idea bonds to below investment grade earlier this year, following the Supreme Court’s (SC) judgment on additional gross revenue or AGR dues, Franklin Templeton AMC created side pockets in five of its schemes holding bonds issued by Vodafone Idea. These five bonds schemes were among the six that were completed in April 2020. SBI Mutual Fund was appointed as the liquidator of these plans by court order.

The money is paid out in installments, with the most recent installment due on September 1, 2021. Unitholders have received Rs 23,998 crore from the fund house thus far.