BHEL stake sale opens on Wednesday, govt may offload up to 5%

The government’s planned liquidation in Bharat Heavy Electricals Ltd (BHEL) will begin on Wednesday and the Center plans to divest 3% stake with greenfield option and additional 2% stake.

The Department of Investment and Public Asset Management (Dipam) said in a statement on social media platform

The green shoe includes an option to sell an additional 6.96 crore shares, equivalent to 2% of the company’s equity capital; This will increase the total potential investment to 17.41 crore shares or 5% of the company’s equity capital if fully utilized.

The government currently owns 63.17% of Maharatna company, which has a market value of 200 million TL. ₹96,122.36 crore.

BHEL, under the ministry of heavy industries, plays a key role in India’s energy and infrastructure sectors. It manufactures critical and supercritical thermal power equipment.

Part of disposal

The OFS is part of the government’s disinvestment plan for the current financial year 2025-26. According to data on Dipam’s official website, the government has achieved this financial increase so far ₹8,768.02 crore as disinvestment receipts. also raised ₹18,837.42 crore from monetization of public assets.

The stake sale will test the government’s plan for such offers for the remainder of the financial year. Government revises budgeted disinvestment target for FY26 ₹47,000 crore ₹33,837 crore. It will be driven by asset monetization as well as sales of minority stakes in central public sector businesses, including insurance and defense companies.

The final amount to be raised through BHEL OFS will depend on investor response and exercise of the green shoe option. BHEL shares closed 0.53% higher ₹It was 276.05 per share at market close on BSE Ltd on Tuesday.

So far this fiscal the government has sold shares of Bank of Maharashtra ( ₹2,624.24 crore); India Overseas Bank ( ₹1,419.36 crore), Mazagon Dock Shipbuilders Ltd ( ₹3,673.42 crore); and remittances from India Unit Trust Specified Undertaking ( ₹1,051 crore).

For FY27, the government sets a higher disinvestment target ₹80,000 crore from sale of shares in central public sector enterprises and monetization of assets.