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MERGER POSSIBILITY BETWEEN BSNL AND MTNLSUBMITTED 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 MERGERFIRST TIME SINCE2000,BSNL HAS POSTED ALOSS ,OF Rs. 1823Cr. IN 09-10.MTNL HAS LOSS OF Rs. 671Cr. Ended DEC 10.BSNL HAS NOW SLIPPED TONUMBER FOUR IN THEMOBILE PHONE SAGMENT.AFTER MERGER IT WILL AT3rd NUMBER .COMPETITION AREINCREASING.
GSM OPERATORS IN FEB 2011GSM OPERATOR SUBSCRIBERS MARKET SHARE (IN MILLION)BHARTI AIRTEL 158 28.65%VODAFONE 130 23.6IDEA 86 15.6BSNL 85 15.3
PROBLEMS IN BSNL-MTNL MERGERBSNL 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.
CONCLUSIONBSNL AND MTNL WANT TO SAVE IN MARKETTHEN MERGER WILL GOOD WAY TO BOTHCOMPANY. COMPETITION ARE INCREASINGAND MANY RIVALS ARE EFFECTING ITSMARKET .