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The government is looking to privatise the state run Bharat Earth Movers Limited (BEML) by selling 26% stake in the company, from the current 54.03%, for ₹1,440 crore. The department of investment and public asset management (DIPAM) had set the minimum net worth requirement for bidders at ₹1400 crore.
The company’s growth prospects remain strong with its robust order book of ₹11,363 crore as of April 1, 2021 which grew 16% from the previous year. There were reports that Tata Motors, Mahindra and Mahindra, Ashok Leyland, Bharat Forge and Megha Engineering and Infrastructure are looking to take part in the privatisation of BEML.
BEML operates under three major business verticals: mining and construction, defence, and rail and Metro. The company also makes military vehicles, and railway and metro coaches.
Shares of the company have gained 36% so far in 2021 on hopes of stake sale by the government.