Bharat Heavy Electricals Ltd. will invest up to Rs 3064.46 crore into Coal India's subsidiary, Bharat Coal Gasification and Chemicals Ltd. under its existing joint venture with the parent company.
The investment is BHEL's equity contribution into BCGCL and will be spread over four years, according to a regulatory filing by the company on Thursday.
"Investment of Rs. 3064.46 Crore as BHEL's equity contribution (spread over four years) in Bharat Coal Gasification and Chemicals Limited (BCGCL), BHEL's JV with Coal India Limited.
BCGCL is a Joint Venture Company of BHEL and Coal India with equity shareholding of 49% and 51% respectively. The JV co was incorporated on May 21, 2024.
The objective of the company is to undertake chemicals business by initially setting up a coal to 2000 TPD Ammonium Nitrate plant, the filing highlighted further.
Besides this, BHEL's board of directors has also approved formation of a Joint Venture Company with Titagarh Rail Systems Ltd. for comprehensive maintenance of the supplied Vande Bharat Sleeper Trains.
"Joint Venture (JV) Agreement and authorisaƟon for seeking clearance of DIPAM for formaƟon of Joint Venture Company with M/s Titagarh Rail Systems Limited for comprehensive maintenance of the supplied Vande Bharat Sleeper Trains," the filing stated.
The PSU is now awaiting approvals from the Department of Investment and Public Asset Management (DIPAM) for the same, it underscored.
BHEL Q3FY26 Highlights
Bharat Heavy Electricals posted a three-fold jump in consolidated net profit to Rs 390.40 crore for the third quarter of financial year 2026, mainly due to increased revenues from key sectors.
The company had clocked a net profit of Rs 134.70 crore in the October-December period of the preceding 2024-25 fiscal, as per an exchange filing.
BHEL's total income rose 18% to Rs 8,691.85 crore during the third quarter from Rs 7,385 crore in the year-ago period.
BHEL Share Price
After the announcement, shares of BHEL traded 2.77% lower at Rs 252.85 apiece on the NSE. This compares to a 3% decline in the Nifty index on Thursday. The scrip has fallen 12.12% year-to-date, but risen 22.73% in the last 12 months.
Further, the stock settled over 3% lower at Rs 251.75.
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