18th February 2005: ICICI Securities (I-Sec), the consultant appointed by the Government to work on synergising the operations of the two telecom PSUs - BSNL and MTNL, has short-listed four options for the proposed process, according to draft report of the bankers. The options are merger of two PSUs and making one PSU a subsidiary of the other based on a 5-point criteria - competitive position, shareholder value, cost implication, execution difficulties viz. where the funds to come from and time period. All the four options (merger of MTNL into BSNL or BSNL into MTNL, making MTNL a subsidiary of BSNL or vice-versa) would be presented in the form of "most favoured" option from one to four, sources said. I-Sec will present final report of phase-I to the merger panel constituted by Department of Telecom.
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