BHEL FPO approved by CCEA

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. The Cabinet Committee of Economic Affairs (CCEA) has approved disinvestment of 5% paid up equity of Bharat Heavy Electricals (BHEL) through a Follow-on Public Offer (FPO)

Bharat Heavy Electricals Limited (BHEL) is the largest engineering and manufacturing enterprise in India in the energy-related/infrastructure sector, today. 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. BHEL caters to the core sectors of the Indian Economy, viz. Power, Transmission, Industry, Transportation, Renewable Energy, Oil & Gas and Defence. BHEL's operations are organised around three business sectors, namely Power, Industry - including Transmission, Transportation and Renewable Energy - and Overseas Business

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. 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%

Stay tuned to Indian IPO Blog for the latest updates on BHEL FPO!