The Kerala government today allowed Bharat Heavy Electricals Limited (BHEL) to exit the joint venture (JV) with State-run Electrical Machines Ltd. at Kasaragod.
A decision in this regard was taken at a high-level meeting chaired by Chief Minister Pinarayi Vijayan.
BHEL-EML was incorporated in 2011, by acquiring the Kasaragod unit of KEL, a State PSU, as a joint venture with Government of Kerala.
BHEL had 51 per cent equity in the JV and the Kerala government holding 49 per cent.
However, BHEL was unwilling to invest any amount as per the agreement, and also wanted to exit the JV, a government release said.
The company with 174 employees was running on loss.
In these circumstances, the Chief Minister called a high-level meeting in which Industries Minister A C Moideen, Member of Parliament P Karunakaran, Chief Secretary Nalini Netto and BEHL-Electrical Machines Ltd Managing Director S Basu, among others participated.
Source: Economic Times BHEL-Electrical Machines Ltd, Kasaragod, is a Central Public Sector Enterprise (CPSE) and a subsidiary of BHEL, a Maharatna company.
