HEC may build N-equipment through JV route
Heavy Engineering Corporation (HEC), the sick public sector company that is now back on its feet, is nursing a nuclear ambition. The PSU is planning to foray into the manufacture of nuclear equipment with a global firm under JV route.
By Dheeraj Tiwari & Subhash Narayan, ET Bureau |
NEW DELHI: Heavy Engineering Corporation (HEC), the sick public sector company that is now back on its feet, is nursing a nuclear ambition. The PSU is planning to foray into the manufacture of nuclear equipment with a global firm under the joint venture (JV) route.
According to HEC sources, the company, which was established in 1958 as the largest integrated engineering industrial complex in India, is in talks with General Electric (GE), Alstom and Areva, among others, for the proposed JV. HEC would hold a majority stake in the JV. Only recently, the Ranchi-based company joined hands with Bharat Heavy Electricals (Bhel) for a casting and forging venture.
���We���re certainly looking for diversification into the nuclear equipment business. However, it���s too early to share the details,��� HEC chairman and managing director JK Pillai said.
The company will soon be signing a memorandum of understanding (MoU) with power major NTPC, whereby HEC will handle NTPC���s ash and coal handling plants. ���There is a synergy between the two public sector companies. We���ll soon be
signing the MoU with NTPC in this regard,��� Mr Pillai said.
���We���ll also be expanding our business in the areas of defence and space. We are looking for public and private partners in these two areas,��� he added. The company supplied equipment for Chandrayaan-I, India���s first moon mission and is manufacturing the biggest satellite launch pedestal for the Indian Space Research Organisation (Isro) for its GSLV MK-III project.
According to HEC sources, the company, which was established in 1958 as the largest integrated engineering industrial complex in India, is in talks with General Electric (GE), Alstom and Areva, among others, for the proposed JV. HEC would hold a majority stake in the JV. Only recently, the Ranchi-based company joined hands with Bharat Heavy Electricals (Bhel) for a casting and forging venture.
���We���re certainly looking for diversification into the nuclear equipment business. However, it���s too early to share the details,��� HEC chairman and managing director JK Pillai said.
The company will soon be signing a memorandum of understanding (MoU) with power major NTPC, whereby HEC will handle NTPC���s ash and coal handling plants. ���There is a synergy between the two public sector companies. We���ll soon be
signing the MoU with NTPC in this regard,��� Mr Pillai said.
���We���ll also be expanding our business in the areas of defence and space. We are looking for public and private partners in these two areas,��� he added. The company supplied equipment for Chandrayaan-I, India���s first moon mission and is manufacturing the biggest satellite launch pedestal for the Indian Space Research Organisation (Isro) for its GSLV MK-III project.
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There has been a turnaround in the fortunes of HEC in the last two years. After more than a decade of poor performance and being referred to the Board for Industrial and Financial Reconstruction (BIFR), the company bounced back and reported a net profit of Rs 2.86 crore in the year 2006-07. It achieved gross sales of Rs 416.28 crore during the financial year 2007-08 and a net profit of Rs 3.46 crore. Start a SIP with as low as ₹500 with ET Money App!
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