Govt to discuss unlocking value of BSNL, MTNL property tomorrow

Tags: News
A Group of Ministers is likely to meet tomorrow to discuss ways of unlocking value of property held by BSNL and MTNL that may fetch them almost Rs 14,000 crore and revive profitability, sources said.

"The GoM (on MTNL, BSNL revival) will meet tomorrow," an official source said.

According to another source, BSNL is looking to get government's nod to monetise 82 land parcels across various locations and the action plan can fetch it a minimum Rs 13,500 crore.

BSNL has proposed to take up pilot project for 10 of these 82 land parcels. Only five out of the ten land parcels have been initially shortlisted for seeking GoM's nod.

MTNL has approached for in-principle nod of the GoM to start asset modernisation through renting and developing it real estate. The company expects that through this process it will be able to realise Rs 150-200 crore in short term and Rs 300-400 crore in the medium term.

BSNL had posted loss of about Rs 7,784 crore in financial year 2012-13. MTNL's net loss widened to Rs 5,321.12 crore in 2012-13 from Rs 4,109.78 crore in FY'12.

The GoM's previous decisions, including refund of fee for broadband wireless spectrum which cumulatively amounted to Rs 11,258 crore and bearing burden of pension paid to MTNL staff, have brought some much-needed relief to the ailing public sector units.

Both the PSUs expects to turn profitable by 2017-18.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.
Image CAPTCHA
Copy the characters (respecting upper/lower case) from the image.

EDITORIAL OF THE DAY

  • Government must give up majority ownership in loss making PSU banks

    After four years of braving economic slowdown and provisioning for rising non performing assets (NPAs), public sector banks are in urgent of capital.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

BK Chaturvedi

Cooperative federalism and governance

Improving relations between the states and the Centre to improve ...

Kuruvilla Pandikattu SJ

Reason drives religion, science

Both religion and science are driven by reason, claims Rama ...

Gautam Gupta

Retailers have it tough, thanks to e-commerce

For the past few months our focus has been on ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture