BHEL shares in focus on bagging order in Odisha, more details

Shares of Bharat Heavy Electricals Ltd. (BHEL) are in focus today after the company won an order worth Rs 5,400 crore in Odisha from its Joint Venture company with Coal India Ltd. BHEL stock slipped 10.34% to Rs 272.30 on Thursday. Market cap of the firm stood at Rs 94,816 crore. 

The order relates to the coal gasification and raw syngas cleaning plant (LSTK 1 Package) of the JV Bharat Coal Gasification and Chemicals Ltd.'s (BCGCL) coal to 2,000 TPD ammonium nitrate project in Odisha.

The contract is for design, engineering, supply of equipment, civil works, setting up, commissioning and operations and maintenance (O&M) services for the LSTK 1 Package.

The preliminary acceptance — commissioning and performance guarantee test — is to be by 42 months. The O&M services are for 60 months from the preliminary acceptance.

The order falls within related party transactions and is done at "arms length", the company said.