The state-run telecom major Mahanagar Telephone Nigam Limited (MTNL) is planning to repay its debt by monetizing its assets in Mumbai and Delhi.
"We have assets in the form buildings and lands which we are not using properly," MTNL CMD PK Purwar told Gizbot.
He said, "We want to monetize assets and for that, we have already submitted the proposal to telecom ministry three months back for consideration." Adding that MTNL had hired JLL as the consultant.
"We can raise Rs 4000 crore from those assets, he further added.
The public sector utility has also planned to provide 8Mbps to its customers by bringing the small exchanges near their premises so that the customer loop length can be brought down less than to 1 Kilobits.
On expansion plans for this financial year, he said," broadband is one of the areas where we think we are strong and we can provide good services, a second is network expansion in a big manner and last is our enterprise segment."
To recall it was also reported that the Department of Telecom (DOT) is again discussing options to merge two loss-making BSNL and MTNL. The meeting was taken by former telecom secretary JS Deepak as both the PSUs are under stress due to competition in the telecom industry.
BSNL also shows its interest in picking up mobile operations of MTNL in Gurgaon, Noida, and Faridabad and the idea of the merger were first suggested by former telecom minister Pramod Mahajan.
However, the Telecom Minister has recently said that "we have not taken any decision on the merger of both the companies."
MTNL's standalone net loss has surpassed its total revenue, during the three-month period ended December 31. While the losses of BSNL narrowed to Rs 4,890 crore for the April-December period of the current fiscal, from Rs. 6,121 crore in the period last year.