Shares of Blue Cloud Softech Solutions Ltd fell nearly 8% in early trade on Monday after the company announced that it has been empanelled by Bharat Sanchar Nigam Ltd (BSNL) as a Captive Non-Public Network (CNPN) Provider under Category III.
The stock was trading at Rs 19.42, down 7.66%.
In an exchange filing, the company said the empanelment follows the execution of a formal agreement with BSNL, enabling it to collaborate with the state-owned telecom operator in planning, designing, deploying, commissioning and maintaining captive private network solutions for enterprise customers across India.
The agreement is valid for 60 months, subject to its terms and conditions.
Blue Cloud Softech said the empanelment makes it eligible to participate in enterprise CNPN projects in partnership with BSNL. However, it clarified that the empanelment does not guarantee any specific business or revenue, and that the financial impact, if any, will depend on the projects secured.
Captive Non-Public Networks are emerging as an important component of India's digital transformation, enabling enterprises to deploy secure, reliable and dedicated communication networks for applications such as Industry 4.0, smart manufacturing, logistics automation, mission-critical communications and digital enterprise solutions.
Under the empanelment framework, the company will be eligible to partner with BSNL across its areas of operation for enterprise CNPN projects, strengthening its position in the evolving private network ecosystem.
Commenting on the development, the management of Blue Cloud Softech Solutions said, "We are pleased to be empaneled by BSNL as a Captive Non-Public Network Provider. This reflects our technological capabilities and our commitment to supporting India’s digital infrastructure. We look forward to working with BSNL and enterprise customers to deploy secure, scalable, reliable and next-generation private network solutions that drive operational efficiency and digital transformation."