MTNL looks forward to acquisitions and Greenfield licenses in overseas market

Ministerial action on 22 Oct 09

MTNL looks forward to acquisitions and Greenfield licenses in overseas market

In the year 2008-09, MTNL is focussing on 3G Service, Broadband, IPTV &VOIP customer base, achieving at least 7, 50, 000 broadband customers, and further expanding its operations through acquisitions and Greenfield licenses in overseas market. Government of India currently holds 56.25% stake in MTNL, which was set up on 1st April, 1986 by the Government of India to update the quality of Telecom Services, telecom network, introduce new services and to raise revenue for telecom development needs of India’s key metros- Delhi and Mumbai.

In the past 21 years the company has emerged as India’s leading and one of Asia’s largest telecom operating companies. Besides having a strong financial base, MTNL has achieved a customer base of 81,82, 133 as on 31st August. 2009. Speaking on the occasion of presentation of dividend cheque for Rs. 35, 43, 72, 740.00 by MTNL here on Thursday, A Raja, the Union Minister for Communications and Information Technology has asked the MTNL to stand before other operators in spite of competitive atmosphere.

In its 23rd AGM held on 25.September.2009 MTNL approved payment of dividend @ 10%, amounting to Rs. 63 crores on the paid up equity capital of Rs. 630 crores, for the financial year 2008-09. Out of Rs. 63 crores, Rs. 35.43 crores were paid to Government of India and Rs. 27.57 crores to others. Handing over the cheque the MTNL CMD R S P Sinha said that MTNL has paid dividend @ 40% during last year. But dividend had to be reduced this time due to rise in expenditure, on account of salary hike and investment in rolling out of 3G Services.

Courtesy: Ministry of Communication and IT release