BEML has been the top gainer on the BSE right since the opening bell today morning. Opening over 5.5% higher at Rs.1238, the stock soared to hit a new high at Rs.1406.25, briefly touching the 20% UC of the day. It is currently trading at Rs.1370 levels.
The Govt, which has a 54% stake in BEML has invited Expressions of Interest (EoI) for 26% stake sale, along with transfer of management control. The EoI opened on 4th Jan and will be open for bids till 22nd March.
The grapevine is that many companies are lining up for the stake and prominent names which have popped up of having put in a bid are – Tata Motors, Mahindra & Mahindra, Ashok Leyland, Bharat Forge and Megha Engineering.
Bharat Forge Ltd and Megha Engineering and Infrastructure Ltd may also submit expressions of interest for the government’s stake in BEML, the people said on condition of anonymity.
Auto companies bidding for the BEML stake is logical as adding a heavy vehicle manufacturer to their portfolio makes perfect sense.