MTNL shares rise as it seeks shareholder nod for fundraising, monetisation of assets

Shares of Mahanagar Telephone Nigam Ltd (MTNL) on Thursday appreciated nearly 5 per cent, a day after it said it will seek shareholders' nod for monetisation of land and buildings as well as for raising up to Rs 6,500 crore through non-convertible debentures.

On BSE, the scrip increased 4.88 per cent to Rs 7.95, while on NSE, the shares rose 4.64 per cent to Rs 7.90.

The state-owned company on Wednesday said the its extraordinary general meeting will be held on January 8, 2020, to seek shareholders' nod for monetisation of land and buildings as well as for raising up to Rs 6,500 crore through.

The company would seek shareholders' approval for issue of non-convertible redeemable non-cumulative preference shares on a private placement basis to the government towards payment of 4G spectrum cost.

Approval is also being sought for monetisation of land and buildings as specified/ identified by its board in line with the Department of Investment and Public Asset Management guidelines and as per revival plan of the company approved by the Union Cabinet recently.