Govt may not consider diluting stake in 1st tranche: BHEL
President Pratibha Patil on Thursday outlined the government’s policy agenda in her inaugural address to Parliament. In her address, she stressed on the need for higher public investment in infrastructure, and indicated that it is okay if government holds a minimum 51% stake in public sector companies. A variety of other issues were also discussed including speeding up public-private partnership (PPP) projects. So, what does this mean for PSUs, particularly Bharat Heavy Electricals?
Ravi Kumar, Chairman and Managing Director, Bharat Heavy Electricals, does not see the government diluting stake in the company in the first tranche. “This is because the government will consider diluting stake in listed companies like Oil India, HPCL, and other companies where its shareholding stands at 95%-97%. The first tranche will be on those companies,”