On Thursday, the shares of MTNL leapt 19 per cent soon after DCC (Digital Communications Commission) discusses the revival plan for BSNL as well as MTNL, according to reports.
The members of DCC conferred the revival plan of both the telecommunication companies (BSNL and MTNL) along with time needed for them to come back to health as well as plan to achieve higher revenue, as reported by ET news.
According to TRAI data, the subscribers of MTNL have decremented to 46,409 whilst BSNL showed a marginal increase in its subscribers. Furthermore, DDC in a discussion meet postponed the decision to penalize INR 3,050 crore on Vodafone, Idea and Airtel until the next meet.
Back in 2016, TRAI, governing body for the telecommunications sector, suggested the government to penalize a sum of INR 3,050 crore on Vodafone, Idea and Airtel for aggregately refuting interconnectivity to then offcomer Reliance Jio.
According to earlier reports, state-controlled telco MTNL was expecting the government to soon allow Rs 4,130 crore worth of refund it sought on account of interest cost borne on Broadband Wireless Access (BWA) spectrum in 2010 and a monetisation scheme that could draw as much as Rs 20,000 crore, as reported by ET news.
P K Purwar, Chairman of MTNL, said, We hope to get somewhere around Rs 20,000 crore from the monetisation of 49 assets, and clearance for a refund of Rs 4,130 crore which is under active consideration and further, adds that the fund would help in cash flow and investments in networks, as reported by ET news.