BEML gets CCEA nod to issue 49 lakh shares

New Delhi, Feb 8 (UNI) Bharat Earth Movers Ltd (BEML) today received the approval of the Cabinet Committee on Economic Affairs (CCEA) to raise funds through public issue of 49 lakhs shares of Rs 10 each.

Announcing this decision, Finance Minister P Chidambaram told newsmen here that the funds raised through public issue will be used in its modernisation and expansion programme.

The price band will be decided by the Board of Directors on the written recommendation of the Book Running Lead Managers.

Presently, Government's holding in the company stands at 61.23 per cent comprising 2.25 crore equity shares of Rs 10 each.

Individuals and other institutions hold 38.77 per cent of the equity. After the public issue, the Government's equity will come down to 54 per cent with the balance 46 per cent being with the institutions and the public, he added.

UNI