BHEL shares tank as government eyes to sell 5% stake via OFS; check targets & details
State-run capital goods major Bharat Heavy Electricals opened sharply lower on Wednesday as the Government of India has launched an offer-for-sale today.
- Feb 11, 2026,
- Updated Feb 11, 2026 11:01 AM IST
BHEL share price: State-run capital goods major Bharat Heavy Electricals Ltd (BHEL) opened sharply lower on Wednesday as the Government of India has launched an offer-for-sale (OFS) today. The floor price for the OFS is set at Rs 254 per share, which represents an 8 per cent discount compared to BHEL's previous closing price.
On the back of steep discount, shares of BHEL cracked more than 6 per cent to Rs 259.30 on Wednesday, with its total market capitalization slipping below to Rs 90,000 crore mark. The stock has already tumbled more than 15 per cent from its 52-week high at Rs 305.85, hit on January 07, 2026.
The government is eyeing to divest up to a 5 per cent stake in the company. The centre will initially sell a 10.44 crore equity shares or 3 per cent stake and may offload an additional 6.96 crore equity shares or 2 per cent, under the green-shoe option, if the offer is oversubscribed. BHEL reported improved financial performance for the December 2025 quarter.
The PSU company's net profit rose to Rs 390 crore, attributed to a strong increase in other income. Revenue for the quarter grew by 16.4 per cent YoY to Rs 8,473 crore, while other income more than doubled to Rs 219 crore. BHEL's EBITDA increased by 79 per cent YoY to Rs 546 crore, with margins expanding to 6.4 per cent for the reported quarter.
The issue has opened for non-retail investors to bid on Wednesday, while retail investors will have an opportunity to participate on Thursday, February 12. The government currently holds a 63.17 per cent stake in BHEL. This divestment is part of broader efforts to increase public shareholding and improve liquidity in the stock.
Beside this, BHEL has received a letter of acceptance (LoA) from Bharat Coal Gasification and Chemicals (BCGCL)—a joint venture between BHEL and Coal India—for the syngas purification plant (LSTK-2 package) for BCGCL’s coal-to-2,000 TPD ammonium nitrate project at Lakhanpur, Odisha. The order value stands at Rs 2,800 crore.
JM Financial and Antique Stock Broking have a 'buy' rating on BHEL, giving it a target prices of Rs 355 and Rs 349 apeice. ICICI Securities also remains positive on the stock, giving it a 'buy' with a target price of Rs 370, suggesting a 42 per cent upside in the stock from today's lows. However, Kotak Institutional Equities has maintained a 'sell' rating on BHEL with a target price of Rs 120.
BHEL share price: State-run capital goods major Bharat Heavy Electricals Ltd (BHEL) opened sharply lower on Wednesday as the Government of India has launched an offer-for-sale (OFS) today. The floor price for the OFS is set at Rs 254 per share, which represents an 8 per cent discount compared to BHEL's previous closing price.
On the back of steep discount, shares of BHEL cracked more than 6 per cent to Rs 259.30 on Wednesday, with its total market capitalization slipping below to Rs 90,000 crore mark. The stock has already tumbled more than 15 per cent from its 52-week high at Rs 305.85, hit on January 07, 2026.
The government is eyeing to divest up to a 5 per cent stake in the company. The centre will initially sell a 10.44 crore equity shares or 3 per cent stake and may offload an additional 6.96 crore equity shares or 2 per cent, under the green-shoe option, if the offer is oversubscribed. BHEL reported improved financial performance for the December 2025 quarter.
The PSU company's net profit rose to Rs 390 crore, attributed to a strong increase in other income. Revenue for the quarter grew by 16.4 per cent YoY to Rs 8,473 crore, while other income more than doubled to Rs 219 crore. BHEL's EBITDA increased by 79 per cent YoY to Rs 546 crore, with margins expanding to 6.4 per cent for the reported quarter.
The issue has opened for non-retail investors to bid on Wednesday, while retail investors will have an opportunity to participate on Thursday, February 12. The government currently holds a 63.17 per cent stake in BHEL. This divestment is part of broader efforts to increase public shareholding and improve liquidity in the stock.
Beside this, BHEL has received a letter of acceptance (LoA) from Bharat Coal Gasification and Chemicals (BCGCL)—a joint venture between BHEL and Coal India—for the syngas purification plant (LSTK-2 package) for BCGCL’s coal-to-2,000 TPD ammonium nitrate project at Lakhanpur, Odisha. The order value stands at Rs 2,800 crore.
JM Financial and Antique Stock Broking have a 'buy' rating on BHEL, giving it a target prices of Rs 355 and Rs 349 apeice. ICICI Securities also remains positive on the stock, giving it a 'buy' with a target price of Rs 370, suggesting a 42 per cent upside in the stock from today's lows. However, Kotak Institutional Equities has maintained a 'sell' rating on BHEL with a target price of Rs 120.