The government has listed for sale real estate assets of state-run telecom firms MTNL and BSNL at a reserve price of around Rs 1,100 crore, according to documents uploaded on the DIPAM website.
BSNL properties located in Hyderabad, Chandigarh, Bhavnagar and Kolkata have been posted for sale at a reserve price of around Rs 800 crore.
The Department of Investment and Public Asset Management (DIPAM) website has listed MTNL assets located in Vasari Hill, Goregaon in Mumbai for sale at a reserve price of around Rs 270 crore.
“This is the first stage of asset monetisation at MTNL and BSNL. Bids have been invited for BSNL assets worth Rs 660 crore and MTNL assets worth Rs 310 crore. We plan to complete the entire process within one-and-half months,” BSNL chairman and managing director PK Purwar said, according to Financial Express.
The e-auction for MTNL assets will take place on December 14. “We will proceed as per market demand for asset monetisation,” Purwar added.
MTNL's 20 flats located in Oshiwara have also been put up for sale as part of the asset monetisation plan of the company.
The flats include two units of 1-room set, 17 units of 1 bedroom hall and kitchen (BHK) and one unit of 2 BHK. Their reserve prices range from Rs 52.26 lakh to Rs 1.59 crore.
The two companies, which have failed to show any credible turnaround despite being given a massive Rs 70,000-crore revival package some time back, own massive land assets across the country worth thousands of crores, reported The Times of India.
The government will, however, start the sale process of some of these assets in a phased manner. There is the issue of land use that may put restrictions on utilising the land for non-telecom purposes. Apart from land bank, the government had previously also discussed monetising the tower assets of BSNL and MTNL, though not much headway seems to have been made.
The asset monetisation is part of the Rs 69,000 crore revival scheme for MTNL and BSNL which was approved by the government in October 2019.
Both the public sector firms were to identify and monetise assets worth Rs 37,500 crore by 2022.
(With PTI Inputs)