MTNL in a regulatory filing has said that it has defaulted on bank loans worth Rs 8,346.24 cr from seven public sector banks.
As can be noted, the disclosure related to the defaults occurring during August 2024 to February 2025.
The information therefore seems to be already discounted in the stock price.
For ease of reference, MTNL’s total outstanding currently stands at Rs 33,568 cr. This is huge and remains unclear as to how it will be resolved.
The current mcap of the Company stands at Rs 2,800 cr and any bullishness around the stock is related to expectations about it’s real estate holdings (won’t be easy to monetise) and/ or strategic resolution by the Government.