The central government has announced its decision to divest 26 percent of its total 54.03 percent stake in state defense and engineering company BEML Ltd.
BEML has notified the decision to BSE.
Confirming the development, the Department of Investment and Management of Public Assets (DIPAM) said that the Preliminary Information Memorandum (PIM) / Expression of Interest (EOI) has been issued for the divestment of 26% of the share capital of BEML Ltd along with the transfer of management control. The divestment will be carried out through a competitive bidding process in two stages.
The government currently has a 54.03 percent stake in the Bengaluru-based public sector company that manufactures a variety of heavy equipment, such as those used for earthmoving, subway cars and mining. The company operates in 3 main business verticals: viz. Mining and Construction, Defense and Railway and Metro.
This divestment process will be implemented through open public bidding. Interested bidders (IB) who meet the eligibility criteria mentioned in the PIM, must submit their EOI on or before March 1, 2021.
DIPAm has appointed SBI Capital Markets Limited (SBICAP) as its Transaction Advisor to advise and manage the strategic divestment process.
DIPAM is already in the process of completing the divestment of three public sector public companies (PSUs): BPCL, Air India and Shipping Corporation.
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