Bhel Gains On Rs 63-crore NTPC Order

Mumbai, June 28: | Updated: Jun 29 2002, 05:30am hrs
The stock of engineering giant, Bharat Heavy Electricals (Bhel) surged marginally on the bourses on Friday on the back of the confirmation of news that the company has bagged a Rs 63-crore contract from the National Thermal Power Corporation (NTPC) for setting up a coal handling plant at the latter’s Rihand project.

On The Stock Exchange, Mumbai (BSE), the stock surged up about 2 per cent to Rs 178 against its previous close at Rs 177.50. A total number of 3,49,389 shares changed hands at the counter.

Dealers at a domestic brokerage said that the the stock surged with the general market trend of old economy stocks performing well on the bourses today. Investors seem to have regained their faith in old economy stocks, they added. Company sources confirmed that Bhel has bagged an order to set up a coal handling plant for NTPC 1,000 Mwt Rihand power station, scheduled to be completed in the next 39 months. According to market reports, the Centre has decided to sell 17 per cent equity stake in Bhel to bring down its holding in the company to 51 per cent from its earlier 67.7 per cent. Analysts said that the positive developments as per tie ups have pushed up the stock even in adverse market situations. However, they said that though there is general bend in market sentiment towards old economy stocks, it may not continue in the forthcoming trading sessions.