MTNL share price zooms 10% amid reports Cabinet approves ₹6,000 crore package for 4G expansion; check details

As per the report, the approved funds will be used to enhance BSNL and MTNL’s 4G network coverage across the country.

Under the plan, around one lakh 4G sites will be set up to improve connectivity and ensure better network services for consumers.

The report further said that to fully implement the expansion, an additional ₹6,000 crore will be required. The government has already provided financial support of ₹3.22 lakh crore to BSNL and MTNL through three separate revival packages.

Shares of MTNL have rallied 13% in the past week.

Last week, the stock surged on reports that the government was finalising an asset monetisation plan. News reports suggested that the government is likely to monetise the state-owned telco’s non-core assets soon to clear existing debts.

According to a media report, the Centre has initiated plans to monetise MTNL’s non-core properties worth ₹16,000 crore, with a group of ministers (GoM) also waiving off various fees on these properties.

The report quoted Arunish Chawla, secretary of the Department of Disinvestment and Public Asset Management (DIPAM), while he was discussing the Union Budget 2025.

In January 2025, the telecom department, through an interim order, extended the additional charge of BSNL and MTNL chairman and managing director to Robert Jerard Ravi for three months, subject to the approval of the appointments committee of the Cabinet.

Ravi, Deputy Director General (Standards Research and Innovation), was given additional charge of the telecom public sector firms as their chairman and managing director on July 13, 2024, after the government rejected the extension application of then CMD PK Purwar.

"In continuation of this department's order...and to ensure that the post(s) of CMD, BSNL, along with CMD MTNL and CMD BBNL, do not remain vacant, as an interim measure and subject to the approval of the appointments committee of the cabinet (ACC), the additional charge...entrusted to Ravi A. Robert Jerard…is extended for a further period of 3 months with effect from January 15, 2025, till April 14, 2025, or until further orders, whichever is earlier," the filing to stock exchanges said, citing the MTNL order.

MTNL share price trend

Shares of Mahanagar Telephone Nigam (MTNL) have gained 22% in the past 12 months.