Has MTNL Secured Approval for Selling Bandra Kurla Residential Complex to NABARD for Over Rs 350 Crore?
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Synopsis
MTNL's latest move to sell its Bandra Kurla residential block to NABARD for over Rs 350 crore marks a significant financial strategy in asset monetization. This transaction is a part of the government’s broader plan to boost financial recovery and streamline operational capabilities for state-run telecom firms.
Key Takeaways
- MTNL sells residential block in Bandra Kurla Complex
- Transaction valued at Rs 350.72 crore
- Buyer is NABARD
- Sale approved by MTNL's Board of Directors
- Part of government asset monetization strategy
New Delhi, Dec 15 (NationPress) The state-owned telecom operator Mahanagar Telephone Nigam Limited (MTNL) announced on Monday that it has received the green light for the sale of its residential asset located in Bandra Kurla Complex, Mumbai, to the National Bank for Agriculture and Rural Development (NABARD) for a total of Rs 350.72 crore.
The company revealed in an exchange filing that the transaction was approved by its Board of Directors via a circular resolution. This property consists of the GN Block of BKC Quarters, which includes 28 residential units situated on MMRDA Plot No. R-4 in Bandra (East), covering an area of 2,680 square metres with a built-up area of 4,019.02 square metres.
MTNL disclosed this transaction in accordance with Regulation 30 of the Securities and Exchange Board of India’s Listing Obligations and Disclosure Requirements (Sebi LODR) Regulations, 2015.
The sale is set to be completed either as a government-to-government (G2G) transfer or through a direct sale to NABARD.
This move aligns with the Presidential approval granted on July 17, 2020, under Article 69(f) of the company's Articles of Association, facilitating the monetization of assets, as stated by MTNL.
The government has set a target of Rs 900 crore to be raised through asset monetization for BSNL and Rs 4,573 crore for MTNL in the financial year 2025-26.
Officials have reassured that there are no plans to shut down BSNL or MTNL, emphasizing that the proceeds from asset monetization will be utilized in accordance with the approvals of the Union Cabinet.
On October 23, 2019, the Cabinet approved a revival plan for BSNL and MTNL, which includes asset monetization following DIPAM guidelines.
Since 2019, BSNL has successfully sold land assets worth Rs 1,341 crore across the nation, while MTNL has yet to record any asset sales.
According to official data, public sector access service providers, including BSNL, MTNL, and APSFL, held a combined wireline market share of 20.22 percent as of October 31.
Point of View
This transaction reflects the ongoing efforts by the Indian government to optimize the operations of state-run telecom firms while ensuring their financial stability. Asset monetization is pivotal for revitalizing MTNL and ensuring its continued service in the competitive telecommunications landscape.
NationPress
17/12/2025
Frequently Asked Questions
What is the value of the property being sold by MTNL?
The property is being sold for Rs 350.72 crore.
Who is the buyer of the MTNL property?
The buyer is the National Bank for Agriculture and Rural Development (NABARD).
What approval did MTNL receive for this transaction?
MTNL's Board of Directors approved the sale through a circular resolution.
What is the size of the property being sold?
The property spans 2,680 square metres with a total built-up area of 4,019.02 square metres.
Is there a plan to shut down BSNL or MTNL?
No, the government has stated that there are no plans to shut down BSNL or MTNL.
