Shares of Mahanagar Telephone Nigam Limited (MTNL) soared nearly 14% on Wednesday after the government confirmed that there are no plans to privatise the state-owned telecom company. The stock jumped 13.92% to trade at Rs 49.26 apiece at approximately 10:38 AM, reflecting investor optimism following the announcement.
The stock opened on a positive note at Rs 46.30, marking a sharp rise from its previous close of Rs 43.24. The surge in MTNL’s stock price came after the government’s reaffirmation of its commitment to retaining control over the telecom entity.
Adding to the positive sentiment, MTNL disclosed that it has generated Rs 2,135 crore from the monetisation of its land and building assets up to January 2025. This revenue inflow strengthens the financial position of the company, reassuring investors about its sustainability and growth prospects.
The government’s decision to retain MTNL in the public sector aligns with its broader strategy of strengthening state-run enterprises. The telecom sector has been witnessing dynamic shifts, and the move is expected to reinforce confidence in the company’s future operations.
MTNL has been a key player in the Indian telecom space, serving major metropolitan areas such as Delhi and Mumbai. The recent developments indicate that the company is on a stable path, with strong backing from the government and improving financials through asset monetisation.
As trading progresses, market analysts are closely monitoring MTNL’s stock performance and any further policy developments that may impact investor sentiment.
