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BHEL Stake Sale Oversubscribed as Government Exercises Greenshoe to Raise About Rs 4,400 Crore

The two-day OFS closed 1.34 times covered at a Rs 254 floor price.

Overview

  • In response to strong demand, the Centre sold the full 5% stake, totaling 17.41 crore shares, via the offer for sale.
  • Day one saw institutional bids for 22.07 crore shares at an indicative price of Rs 256.07, followed by solid retail participation on day two.
  • DIPAM said the greenshoe was exercised, with proceeds accruing to the government rather than to BHEL’s balance sheet.
  • The government, which held 63.17% in BHEL pre-transaction, targeted a base 3% sale with a 2% greenshoe under the standard two-day OFS window.
  • BHEL shares fell about 5–6% when the sale opened, while recent coverage highlighted improved Q3 FY26 performance and a Rs 2,800 crore LoA from BCGCL.