Finmin proposes BHEL stake sale through block deal to FIs

Updated: Feb 3 2014, 07:10am hrs
Facing opposition from the heavy industries department on disinvestment in BHEL, the finance ministry, under

P Chidambaram, is considering a 5% stake sale in the power plant equipment maker to financial institutions through

the block deal route. For BHEL divestment, we are considering the possibility of a block deal with state financial institutions, a senior finance ministry official said. State financial institutions include LIC and PSU banks. At BHELs current share price of Rs 172.85 apiece, the 5% stake sale would fetch about Rs 2,100 crore to the exchequer.