Present CMD of bsnl P K Purwar, announced that 'the first step MTNL and BSNL asset monetization is completed and the whole process will take a month and a half to complete.
Synopsis
- The assets of state-owned telecom operators, including BSNL and MTNL, are now on sale.
- MTNL has 20 apartments in Oshiwara which have been put up for sale.
- BSNL will still take a long time from now to implement 4G services.
The businesses of state-owned telecommunications operators, including Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL), are now on sale. According to a PTI report, the total value of the assets is 970 million rupees.
According to documents uploaded to the Department of Public Asset Investment and Management (DIPAM) website, BSNL's assets worth Rs 660 crore and MTNL's assets worth Rs 310 crore are for sale.
First phase of asset monetization for BSNL, MTNL
Present CMD of bsnl P K Purwar, announced that 'the first step MTNL and BSNL asset monetization is completed and the whole process will take a month and a half to complete.
MTNL has 20 apartments in Oshiwara which have been put up for sale. The electronic auction will take place on December 14 for MTNL assets. Note that asset monetization was a key part of the reactivation package announced by the government in 2019 for BSNL and MTNL.
This is a great thing for telecom companies. BSNL can certainly use the money from the monetization process to roll out 4G networks faster. The state-owned telecommunications company had expressed concern that it did not have enough cash flow to meet the capital expenditures needed to launch 4G.
However, BSNL will still take a long time from now to implement 4G services. This is because there have been delays and problems in the proof of concept (PoC) process. Tata Consultancy Services (TCS) did not fully follow the rules established in the terms of expression of interest (EoI).
Additionally, the telecom company was denied the opportunity to upgrade 2G and 3G sites to 4G in South and West India. Had it been approved, BSNL would have upgraded more than 13,533 sites to 4G.
