NTPC-BHEL to sell 50 % stake to private Co

New Delhi: NTPC-BHEL Power Projects (NBPPL), a newly formed joint venture between state-owned equipment maker Bharat Heavy Electricals (BHEL) and power generation major NTPC, plans to sell up to a 50 per cent stake to private companies.

BHEL and NTPC currently hold equal stakes in the joint venture that was formed in April this year to produce power equipment and build power stations in India and abroad.

“NTPC BHEL Power is planning to dilute its shares up to 50 per cent with a view to inviting private partners to improve overall effectiveness and efficiency,” a statement from BHEL said. The statement did not provide any timeframe for the stake sale or the amount of money that will be raised via the transaction.

NBPPL will have a capacity of 5,000 MW a year by 2014-15 at an investment of Rs 6,000 crore, the release said. It also said that BHEL’s Director (Engineering, R&D), Mr C P Singh, has been appointed as the Chairman and Managing Director of the joint venture company.