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MERGER POSSIBILITY
 BETWEEN BSNL AND MTNL




SUBMITTED TO-     SUBMITTED BY-
MS.POOJA PATHAK   ASHOK KUMAR
BSNL
• Bharat Sanchar Nigam Ltd. formed in October,
  2000.
• It Has About 46 Million Line Basic Telephone Capacity.
• Network connecting 602 Districts, 7330
  cities/towns and 5.6 Lakhs villages.
• BSNL has installed Quality Telecom Network in
  the country and now focusing on improving it.
• BSNL IS FIRST 3G SERVICE PROVIDER IN
  INDIA.
MTNL
• 28th February 1986 Mahanagar Telephone Nigam
  Ltd. Was Incorporated As A Public Limited
  Company.
• MTNL Had Approved A Proposal For Setting Up A
  Joint Venture Company With The Telecom
  Consultants India Ltd (TCIL) For Operating Basic
  And Cellular Services In 1998.
• The Company Is Likely To Be Listed On New York
  Stock Exchange With The Public Sector In 2000.
• The Company Was Launch Its Cellular Service In
  Mumbai From 15august 2000 .
NEEDED OF MERGER

FIRST TIME SINCE
2000,BSNL HAS POSTED A
LOSS ,OF Rs. 1823Cr. IN 09-
10.

MTNL HAS LOSS OF Rs. 671
Cr. Ended DEC 10.

BSNL HAS NOW SLIPPED TO
NUMBER FOUR IN THE
MOBILE PHONE SAGMENT.

AFTER MERGER IT WILL AT
3rd NUMBER .

COMPETITION ARE
INCREASING.
GSM OPERATORS IN FEB 2011
GSM OPERATOR    SUBSCRIBERS    MARKET SHARE
                (IN MILLION)

BHARTI AIRTEL   158            28.65%



VODAFONE        130            23.6



IDEA            86             15.6



BSNL            85             15.3
ANALYSIS OF
OPERATOR      SUBSCRIBERS   MARKET SHARE   REVENUES   NET LOSS
              (MILLION)     (%)            (CRORES)   (CRORES)



MTNL          5.17          .93            3770       2515




BSNL          85            15.33          32045      1823




MTNL+ BSNL    90.20         16.57          35816      4337
PROBLEMS IN BSNL-MTNL MERGER
BSNL                        MTNL
 BSNL IS NOT A LISTED       MTNL IS LISTED IN INDIA
  COMPANY.                    AND NYSE.
 SALARY STRUCTURE AND       IT HAVE ALSO DIFFERENT
  PENSION ARE DIFFERENT .     PENSION PLAN.
 BSNL HAS 300,000           MTNL HAS 50,000
  EMPLOYEES.                  EMPLOYEES.
 IT’S COMPANY POLICY        IT’S COMPANY POLICY
  MADE FOR WHOLE              MADE FOR DELHI AND
  COUNTRY                     MUMBAI CIRCLES.
CONCLUSION
BSNL AND MTNL WANT TO SAVE IN MARKET
THEN MERGER WILL GOOD WAY TO BOTH
COMPANY. COMPETITION ARE INCREASING
AND MANY RIVALS ARE EFFECTING ITS
MARKET .
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New microsoft office power point presentation (5)

  • 1. MERGER POSSIBILITY BETWEEN BSNL AND MTNL SUBMITTED TO- SUBMITTED BY- MS.POOJA PATHAK ASHOK KUMAR
  • 2. BSNL • Bharat Sanchar Nigam Ltd. formed in October, 2000. • It Has About 46 Million Line Basic Telephone Capacity. • Network connecting 602 Districts, 7330 cities/towns and 5.6 Lakhs villages. • BSNL has installed Quality Telecom Network in the country and now focusing on improving it. • BSNL IS FIRST 3G SERVICE PROVIDER IN INDIA.
  • 3. MTNL • 28th February 1986 Mahanagar Telephone Nigam Ltd. Was Incorporated As A Public Limited Company. • MTNL Had Approved A Proposal For Setting Up A Joint Venture Company With The Telecom Consultants India Ltd (TCIL) For Operating Basic And Cellular Services In 1998. • The Company Is Likely To Be Listed On New York Stock Exchange With The Public Sector In 2000. • The Company Was Launch Its Cellular Service In Mumbai From 15august 2000 .
  • 4. NEEDED OF MERGER FIRST TIME SINCE 2000,BSNL HAS POSTED A LOSS ,OF Rs. 1823Cr. IN 09- 10. MTNL HAS LOSS OF Rs. 671 Cr. Ended DEC 10. BSNL HAS NOW SLIPPED TO NUMBER FOUR IN THE MOBILE PHONE SAGMENT. AFTER MERGER IT WILL AT 3rd NUMBER . COMPETITION ARE INCREASING.
  • 5. GSM OPERATORS IN FEB 2011 GSM OPERATOR SUBSCRIBERS MARKET SHARE (IN MILLION) BHARTI AIRTEL 158 28.65% VODAFONE 130 23.6 IDEA 86 15.6 BSNL 85 15.3
  • 6. ANALYSIS OF OPERATOR SUBSCRIBERS MARKET SHARE REVENUES NET LOSS (MILLION) (%) (CRORES) (CRORES) MTNL 5.17 .93 3770 2515 BSNL 85 15.33 32045 1823 MTNL+ BSNL 90.20 16.57 35816 4337
  • 7. PROBLEMS IN BSNL-MTNL MERGER BSNL MTNL  BSNL IS NOT A LISTED  MTNL IS LISTED IN INDIA COMPANY. AND NYSE.  SALARY STRUCTURE AND  IT HAVE ALSO DIFFERENT PENSION ARE DIFFERENT . PENSION PLAN.  BSNL HAS 300,000  MTNL HAS 50,000 EMPLOYEES. EMPLOYEES.  IT’S COMPANY POLICY  IT’S COMPANY POLICY MADE FOR WHOLE MADE FOR DELHI AND COUNTRY MUMBAI CIRCLES.
  • 8. CONCLUSION BSNL AND MTNL WANT TO SAVE IN MARKET THEN MERGER WILL GOOD WAY TO BOTH COMPANY. COMPETITION ARE INCREASING AND MANY RIVALS ARE EFFECTING ITS MARKET .