BHEL targets Rs 23,755 cr networth in FY'12

BHEL has set a target of reaching the networth of Rs 23,755 crore in 2011-12, according to the Memorandum of Understanding (MoU) it has signed with the Ministry of Heavy Industries and Public Enterprises.

Once the target is realised, the PSU would have an average networth of over Rs 15,000 crore for three straight financial years — one of the criteria needed for the Maharatna status.

Even as the company has set a goal for qualifying for the coveted status given to PSUs, the government is considering to grant it the Maharatna tag soon with a condition that it would meet the criteria within this fiscal, sources said.

The government is also planning to offload five per cent of its stake in BHEL through a follow-on public offer that could fetch the exchequer about Rs 4,700 crore.  Once it becomes Maharatna, BHEL board would be able to take decisions on investments up to Rs 5,000 crore, without the government approval.