PSU Watch logo

| CIL’s coal supplies under e-auction log 31% growth during Apr-Dec’21 |   | Mauritius Police Force to use HAL made Advanced Light Helicopter (ALH); signs export contract |   | Special CBM Bid Round: Bidding for 15 CBM blocks to start on Feb 15, says DGH |   | Bribery case: GAIL suspends Director (Marketing) ES Ranganathan after CBI arrest |   | SJVN earns Rs 34.40 crore as incentive from its hydro-power stations |   | Cabinet approves equity infusion of Rs 1,500 crore in IREDA |  

This PSU share has given a return of close to 152% in past one year

Defence PSU BEML has proven a track record to be a quality PSU share that has given investors good 152 percent return in past one year
Defence PSU BEML share has given a return of close to 152% in past one year
Defence PSU BEML share has given a return of close to 152% in past one year

New Delhi: (Vivek Shukla) Disinvestment bound Defence PSU BEML stocks were trading low on the indices today. At the time of closing bell, BEML shares closed 3.22 percent low at Rs 1938.25 apiece on NSE. However, if you look at the calendar year 2021, the stock price of BEML has zoomed 152 percent. On December 11, 2020, Defence PSU's shares were trading at Rs 771.40 apiece which is now close to Rs 1939. The 52-week high for the BEML was Rs 2,085.00 apiece that it touched a couple of days back on December 07, after Brickwork Ratings India assigned BWR AA ratings to the company’s bank loan facilities with a stable outlook.

BEML is a disinvestment bound PSU that operates under the Ministry of Defence. A professionally managed company BEML produces equipment for mining, construction, defence, and rail and metro segments. The Department of Investment and Public Asset Management had in January 2021 invited EoI to offload its 26 per cent stake in BEML. The government currently holds 54.03 percent stake in BEML. In July BEML had incorporated a new Wholly-owned Subsidiary (WoS) — BEML Land Assets Ltd — for the demerger of surplus land and assets. The company filed the scheme of arrangement for the demerger with MCA for approval in October 2021. BWR will continue to monitor the strategic disinvestment process and take appropriate rating action as and when necessary, the rating agency said in rating action/outlook.

ALSO READ

Brickwork Ratings (BWR) believes the strategic importance of the company’s operations, government support, new business plans and strong order book position fuelled a revival in the company’s business from the Covid-19 impact during FY21 and H1FY22. The rating outlook may be revised to Positive in the case of sustained significant growth in revenues with an improvement in profitability and working capital management, thereby strengthening its credit risk profile. Replenishing the order book with higher margins and advance backed orders would also be credit positive, it said.

(PSU Watch- India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)