BSNL, MTNL to be merged; Cabinet approves four-way revival plan

In order to revive loss-making telecom PSUs BSNL and MTNLNSE 4.27 %, the government today decided to merge the two ailing firms as part of a revival package that includes raising sovereign bonds, monetising assets and voluntary retirement scheme (VRS) for employees.

As part of the revival package, MTNL will be merged with BSNL. Pending this, MTNL will act as a subsidiary of BSNL. MTNL is listed but has its net worth already eroded. BSNL is unlisted.