Shares of Mahanagar Telephone Nigam Ltd. (MTNL) surged 2.65% to ₹54.26 in Wednesday’s trade following CNBC Awaaz reports that the Union Cabinet is meeting today to discuss the transfer of MTNL’s assets as part of its broader revival plan.
The move comes amid increasing government focus on reviving the ailing telecom PSU, which is burdened with over ₹33,500 crore in debt. Of this, around ₹8,300 crore is owed to a consortium of public-sector banks including State Bank of India, Punjab National Bank, Bank of India, Indian Overseas Bank, UCO Bank and Punjab & Sind Bank — most of which are listed entities.
Minister of State for Communications Dr CS Pemmasani recently reaffirmed that the government is “not giving up on MTNL,” noting that a committee of secretaries is actively reviewing distress factors and corrective steps.
As part of this strategy, the government has accelerated MTNL’s asset monetisation drive, slashing timelines from two years to six-eight months. Land parcels valued above ₹100 crore are being transferred to the National Land Monetisation Corporation for quicker disposal. The outcome of today’s cabinet meeting could set the tone for MTNL’s financial future.
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