BHEL FPO may carry Employee Discount - Indian IPO Blog

Tuesday, August 30, 2011

BHEL FPO may carry Employee Discount

The Follow-on Public Offer of Bharat Heavy Electricals Limited is likely to carry a provision for discount of up to 5 percent on the Final Issue Price for employees of the company. Bharat Heavy Electricals Limited, the electrical equipment heavyweight, is planning to come up with a Follow-on Public Offer (FPO) in line with Government's divestment plans

Although the availability of discount or otherwise has not yet been confirmed, it would be interesting to note whether the company announces a Retail Discount as well along with an Employee Discount. According to the company's website, Bharat Heavy Electricals Limited (BHEL) is the largest engineering and manufacturing enterprise in India in the energy-related/infrastructure sector today.

Currently, the Government of India holds 67.72% stake in BHEL. It plans to divest around 5% of its stake through the proposed Follow-on Public Offer. Consequent to the FPO, the Government's stake in the company would be reduced to 62.72%. BHEL was established more than 40 years ago, ushering in the indigenous Heavy Electrical Equipment industry in India. The company has been earning profits continuously since 1971-72

No comments:

Post a Comment