NELCO Limited saw its shares climb more than 3% in early trade today after the Department of Telecommunications (DoT), Ministry of Communications, Government of India, granted the company an important additional authorization under its existing Unified License. The newly approved UL VNO-GMPCS authorization strengthens NELCO’s regulatory portfolio and opens new opportunities in the fast-growing satellite communication space.
According to the company’s disclosure, the license has been issued by the Government of India’s Ministry of Communications through the DoT. This authorization allows NELCO to operate as a Virtual Network Operator under the GMPCS category, enabling the company to sell VSAT services provided by other UL-GMPCS license holders. For NELCO, which has already been expanding its satellite communication capabilities, this approval significantly enhances its ability to serve enterprise, maritime and remote-area connectivity customers.
The company also clarified that there has been no withdrawal or suspension involved, and no penalties or regulatory concerns are attached to this authorization. The license comes with a validity of 10 years, and its tenure will remain aligned with the validity period of NELCO’s existing Unified License. This ensures a clear regulatory roadmap and long-term visibility for the company’s satellite and communication service operations.
NELCO added that if at any point in the future the license is withdrawn or suspended, it will inform the stock exchanges about the monetary impact and the corrective steps taken.
