Department of Investment and Public Asset Management (DIPAM) on Thursday invited financial bids from group of empaneled firms to sell 378 flats belonging to MTNL. These flats are located at five locations in Mumbai.

MTNL is government-owned telecom service provider with operation area of Delhi and Mumbai. It is heavily loss-making company with nearly ₹3,700 crore of net loss during FY 2019-20. Post issuance of tender on Thursday, share of company surged nearly 7 per cent to close at ₹8.94 on BSE.

The company has these 378 flats located at five locations – Airoli, Kalamboli, Kopar Khairane, New Panvel and Sanpada – in Mumbai. Each of these locations has been categorised as cluster. Now, DIPAM proposes to appoint, from amongst the International Property Consultancy firms empaneled last year, Transaction Advisors. There will be five such advisors. The firms have the discretion to bid for either for all or any number of the clusters of the assets, but separate financial bids will have to be submitted for each of the clusters of assets.

The consultancy firms empaneled will be required to prepare the “Feasibility Report” in three weeks for each of the assets allocated to them, provide end-to-end transaction advisory services, and ensure completion of these transactions.

Bid needs to be submitted by November 9. After that, all prospective bidders will be intimated about date of opening of bids.

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