Shares of Vodafone Idea gained in early trading after the company informed stock exchanges that the Bombay High Court had set aside demand notices issued by the Department of Telecommunications (DoT) amounting to ₹2,113 crore in a long-running spectrum charges dispute.

The dispute pertained to demands raised by the DoT for spectrum usage-related charges. In its judgment, the Bombay High Court quashed the demand notices issued against Vodafone Idea, providing significant financial relief to the telecom operator.

In addition to setting aside the demands, the court directed the authorities to return the bank guarantees that Vodafone Idea had furnished in connection with the matter. The decision removes a substantial contingent liability and is expected to strengthen the company's financial position.

The ruling comes at a critical time for Vodafone Idea as the company continues efforts to improve its balance sheet, expand network investments, and compete with larger rivals in the Indian telecom market. The company has been undertaking capital-raising initiatives and network expansion plans to improve subscriber retention and service quality.

Following the announcement, investors reacted positively to the development, with Vodafone Idea shares rising nearly 3% in early trade. Market participants viewed the judgment as a favorable outcome that could reduce regulatory and financial overhangs on the company.

The relief is expected to support Vodafone Idea's ongoing turnaround efforts as it seeks to strengthen operations amid intense competition in India's telecom sector.