BHEL Shares Plunge As OFS Opens Today

Shares of Bharat Heavy Electricals Ltd (BHEL) shares slipped over 5% on Wednesday, February 11, after the company disclosed that the government would be offloading part of its stake through an offer for sale (OFS) that opens today. The move provides investors an opportunity to purchase the stock at a discounted price. The PSU has set the floor price at Rs 254 per share for the OFS. Of the 19 analysts tracking this stock, eight have a 'buy' call, two have a 'hold' call, and nine have a 'sell' rating, with an average downside potential of 1.8%. Photo Credit: BHEL Website The announcement was made by Department of Investment and Public Asset Management (DIPAM) Secretary Arunish Chawla in a post on X. Key Details On OFS The government is set to divest a 3% stake in BHEL—amounting to over 10.44 crore equity shares—through an offer for sale (OFS) as part of its ongoing disinvestment plan. The floor price for the issue has been set at Rs 254 per share, offering investors an approximate 8% discount to BHEL's previous close on the NSE. The OFS will take place over two trading sessions on February 11 and 12, in line with the standard framework prescribed by the stock exchanges. The government has also kept a greenshoe option that allows it to sell an additional 6.96 crore shares, or 2% equity, which could raise the total divestment to 5%. At the base level, the 3% stake sale is expected to fetch around Rs 2,650 crore, while exercising the full greenshoe option could increase the issue size to roughly Rs 4,422 crore. The seller in this OFS is the President of India, acting through the Ministry of Heavy Industries, which currently holds a 63.17% promoter stake in BHEL. Bidding for non‑retail investors will open on Wednesday, February 11, while retail investors can participate on Thursday, February 12. The offer will run via the designated OFS window during regular market hours, from 9:15 am to 3:30 pm.