REC gets 'Maharatna' company status
An order to this effect was issued by the Department of Public Enterprises, under the Ministry of Finance, on Wednesday.
Incorporated in 1969, REC is a non-banking finance company (NBFC), focussing on power sector financing and development across
The granting of 'Maharatna' status to REC will impart enhanced powers to the company's board while taking financial decisions, a company statement said.
The board of a 'Maharatna' CPSE can make equity investments to undertake financial joint ventures and wholly-owned subsidiaries and undertake mergers and acquisitions in India and abroad, subject to a ceiling of 15 per cent of the net worth of the CPSE concerned, limited to Rs 5,000 crore in one project.
The board can also structure and implement schemes relating to personnel and human resource management and training.
With this, REC can also enter into technology joint ventures or other strategic alliances among others.
Chairman and Managing Director of REC,
"In FY22, REC made its highest ever net profit of Rs 10,046 crore and reached a net worth of Rs 50,986 crore, owing to its cost-effective resource management and strong financial policies," he said.
REC (earlier known as
AdvertisementSome key Maharatna CPSEs in India are ONGC, NTPC, Indian Oil Corporation and BHEL, among others.
SEE ALSO :
Rupee slumps 51 paise to all-time low of 80.47 against US dollar
DoT proposes fee, penalty waiver under new telecom rules
Popular on BI
- Razorpay forays into loyalty and rewards segment with PoshVine acquisition
- Don't equate fun with money: Sundar Pichai to employees
- Best Intel-powered laptops for school students
- Festive season is here! Explore the best Intel Laptops for Education
- Reliance is reportedly planning to launch JioPhone 5G in India at a very affordable price