Citi has given a 'buy' rating to Indus Towers with a target price of Rs 458 per share. This comes after Vodafone Group Plc announced its decision to sell its remaining 3 percent stake in the Indian tower company.

Citi predicts that the proceeds from Vodafone's exit, estimated to be between Rs 2,700-2,800 crore, will be distributed to Indus Towers shareholders as dividends, which will offer attractive yields. The closing price of Indus Towers shares was Rs 359.30, showing a 1.53 percent increase prior to Vodafone's announcement. Citi's target price indicates a potential upside of more than 27 percent.

Over the past year, the stock has risen by over 92 percent, resulting in a market capitalization of over Rs 94,000 crore. Vodafone's complete divestment is expected to help in repaying its debts, signifying a significant change in its investment strategy in the Indian market.