 "BEML's demerged non-core businesses entity's listing in one month")
The BEML's demerged non-core businesses entity, BEM Land Assets Ltd, is expected to be listed in the next one month, a step toward divestment of the engineering major.
The government seeks strategic divestment of 26 per cent post BEML demerger process of non-core assets.
"Listing of demerged land company will be in a month's time. The valuation process is on. After listing, disinvestment process will be started," BEML chairman and managing director Amit Banerjee said.
He was speaking on the sidelines of CII-organized Global Mining Summit 2022.
He told PTI that the main assets of the demerged entity will be some total 550 acre of prime land in Bangalore and Mysore.
The existing BEML shareholders have been given shares in the new demerged entity in a 1:1 ratio.
More From This Section
State-owned BEML was focusing on defence and the metro railway business.
Banerjee also mentioned that BEML, which currently has a 90 per cent localisation rate for defense trucks, in light of the government's outlook on make in India.
Banerjee said, operating margins had squeezed due to high input cost. The margins had declined 250 basis points from pre-COVID levels.He said the company was focusing on exports due to better margins.