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Highlights
- Bharat Sanchar Nigam Limited (BSNL), a state-run Indian telecom operator is trying to revive business through the revival package offered by the government.
- The company is now working to monetise assets and the pace has picked up.
- The state-run telecom company is eyeing to raise $845 million USD in FY27 to fund its capex, and this will be done via asset monetisation.
Andrew Bonwick
Vice President of Product Development at Relm Insurance
Madhav Sheth
CEO of Ai+ Smartphone
Stephen Rose
CEO Render Networks
Bharat Sanchar Nigam Limited (BSNL), a state-run Indian telecom operator is trying to revive business through the revival package offered by the government. The company is now working to monetise assets and the pace has picked up. The state-run telecom company is eyeing to raise $845 million USD in FY27 to fund its capex, and this will be done via asset monetisation. In simple words, asset monetisation means selling assets for cash. These assets are largely unused or underutilised by the company and are not adding much value sitting in the books. One of the ways government provided relief to BSNL was by allowing asset monetisation.
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BSNL to Start with $317 Million in Short Term
While the plan for the year is close to $845 million USD monetisation through assets, roughly amounting to Rs 8,000 crore, the near term goal is to raise $317 million USD or Rs 3,000 crore approximately. This money has been earmarked for capital expenditure (capex) by the brand.
According to a New Indian Express report, a DoT (Department of Telecommunications) official said, “The talks to sell properties worth Rs 3,000 crore are going well, and discussions for other properties and flats are also progressing. I am sure the company will be able to achieve the target.” BSNL has plenty of land assets, especially when combined with the Mahanagar Telephone Nigam Limited (MTNL). MTNL has properties in prime areas of Delhi and Mumbai. There are residential flats owned by the entities as well. These assets are going to be monetised in the near future.
