MTNL Shares Jump as Property Sale Approved

MTNL’s stock price went up a lot – 9.3% – on the stock exchange (BSE). This happened because the company decided to sell a building it owns in Mumbai to Nabard, a bank. The stock price rose to ₹39.51 per share, while the overall market was going down.

Key Points

• MTNL sold a building in Mumbai to Nabard for ₹350.72 crore.
• This sale is a government-to-government transaction.
• The stock jumped 9.3% due to the announced sale.
• The overall market was down 0.52% during the day.
• MTNL has significant loan defaults to several banks.
• Total loan defaults exceed ₹8 billion as of November 2025.

The sale is a government-to-government deal, meaning the government is selling the property directly to Nabard. The price of the sale is ₹350.72 crore. This is good news for investors, but there’s a big problem.

MTNL is facing serious money trouble. They haven’t been paying back loans to several big banks – Union Bank, Bank of India, and others. This means they’re considered “non-performing assets,” or NPAs, which is a bad sign for their finances.

As of November 30, 2025, MTNL owes over ₹8 billion to these banks. A large portion of this is the main loan amount, and the rest is interest. These defaults are a major concern for anyone considering investing in MTNL.

This situation highlights the financial challenges facing MTNL and the risks associated with its investments.