Mahanagar Telephone Nigam Limited (MTNL), a government-owned telecommunications service provider, has announced an extension of the additional charge of its Chairman and Managing Director (CMD) position to Shri A. Robert J. Ravi, who currently serves as the CMD of Bharat Sanchar Nigam Limited (BSNL). This decision, approved by the Appointments Committee of the Cabinet (ACC), extends Ravi's dual leadership role for an additional three months.

Extension Details

The extension of Ravi's additional charge as CMD of MTNL is set for the period from July 15, 2025, to October 14, 2025. However, this arrangement is subject to change under certain conditions:

• Until the assumption of charge by a regular incumbent for the CMD position at MTNL
• Until further orders from the government
• Whichever of the above occurs earliest

Official Communication

The approval for this extension was conveyed through the Department of Telecommunications (DoT) under the Ministry of Communications. MTNL officially disclosed this information in compliance with Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015.

Background

This extension follows previous orders from the DoT, with the most recent being dated July 14, 2025. The latest communication from the DoT (Letter No. E-1-6/2018-PSA dated July 25, 2025) confirms the ACC's approval of the extension.

Implications

The continued dual charge highlights the government's strategy in managing these two significant public sector telecom companies. By having a single executive at the helm of both MTNL and BSNL, the government may be aiming for better coordination and potentially exploring synergies between the two organizations.

This development is significant for stakeholders of both MTNL and BSNL, as it indicates a continuation of the current management approach for at least the next three months. Investors and industry observers will likely be watching closely for any further developments or changes in the leadership structure of these important public sector enterprises in the telecommunications sector.

Mahanagar Telephone Nigam Limited (MTNL), a government-owned telecommunications service provider, has taken significant steps to ensure its financial obligations are met, as revealed in recent company announcements.

Escrow Account Funding Completed

MTNL has successfully completed the funding of an escrow account designated to cover bond interest payments. This proactive measure ensures that the company has set aside the necessary funds to meet its financial obligations to bondholders, demonstrating MTNL's commitment to financial responsibility and transparency.

Details of the Bond Interest Payment

According to the company's latest disclosure to the stock exchanges, MTNL has funded the Designated ESCROW Account maintained in Bank of India for the payment of the 4th Semi-Annual Interest related to its 7.59% MTNL Bond Series VIIIA (INE153A08154). The funding was completed on July 17, 2025, well ahead of the due date of July 20, 2025.

Regulatory Compliance

The company's action is in compliance with Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015. This regulation mandates prompt disclosure of material events to the stock exchanges.

Implications for Investors

This move by MTNL is likely to be viewed positively by investors and bondholders alike. By ensuring that funds are available for interest payments well in advance of the due date, MTNL demonstrates its financial planning capabilities and commitment to meeting its debt obligations on time.

The timely funding of the escrow account may help in maintaining investor confidence in the company's financial management practices, particularly important for a public sector enterprise operating in the competitive telecommunications sector.

As MTNL continues to navigate the challenges in the telecom industry, such proactive financial management could play a crucial role in its ongoing operations and future strategies.