Alstom, Bharat Forge plan $500-mn power JV

Alstom’s Switzerland-based arm Alstom Power is likely to enter into a $500-million joint venture with Bharat Forge to produce high-value, super-critical turbine/generator (TG) sets for thermal and nuclear power plants. The two are expected to sign an agreement soon to set up a manufacturing facility with an estimated capacity of 5,000 MW per annum.

The JV is looking for 1,000 acres of land for the production facility and is in talks with the state governments of Maharashtra, Gujarat and Tamil Nadu. Once the site is finalised, the proposed JV plans to roll out power equipment within three years.

While the JV company is expected to manufacture equipment for thermal power plants initially, Alstom could bring in its expertise in nuclear equipment as and when the segment opens up.

Read more in The Economic Times article.

Bhel completes acquisition of Bharat Heavy Plate & Vessels

Navratna company Bharat Heavy Electricals (Bhel) has formally taken over Bharat Heavy Plate & Vessels (BHPV). This became a zero liability takeover for Bhel after the central government and the Andhra Pradesh government agreed to share all the financial liabilities of the ailing public sector company.

The authority letter to this effect was handed over by Department of Heavy Industry secretary Satyanarayana Dash to Bhel chairman & managing director K Ravi Kumar here on Saturday. Meanwhile, Bhel has signed a memorandum of understanding (MoU) with the Andhra Pradesh generation company (APGenco) for setting up the country’s largest integrated coal gasification combined cycle power plant at Vijayawada.

As per the strategic plan 2012 adopted by the company, BHEL envisage's power sector to contribute 70% to the company’s turnover by 2011-12 with 30% contribution from industry related businesses taking Bhel’s sales turnover to Rs 45,000 crore by 2012."As setting up another plant would need massive investments and long gestation time, supporting an existing entity like BHPV makes better business sense", Mr Kumar said.

BHEL, NTPC to form JV for power sector projects

Public-sector power equipment maker Bharat Heavy Electricals (BHEL) and country's leading power generation firm NTPC today announced they will form a joint venture company for carrying out various projects in this space.

"BHEL and NTPC have signed a Memorandum of Understanding (MoU) to form a joint venture company with the propose to work jointly to complement their respective strength," BHEL said in a release to the BSE.

The joint venture would carry out engineering procurement and construction activities in the power sector, it added.

Sensex hits all-time high at 14,727

Equities opened the week higher, with the Sensex making an all-time high of 14727. Capital goods, metal and banking stocks led the rally. Mid-cap and small-cap stocks also were firm. Autos and FMCG shares, however, were weak.

At 10:15 am, Bombay Stock Exchange’s Sensex was at 14,717, up 67 points or 0.46% from Friday’s close. National Stock Exchange’s Nifty was up 9 points or 0.2% at 4327.

Top Sensex gainers were Cipla, BHEL, Tata Steel, Larsen and Toubro and ONGC.

Hero Honda, ACC, HDFC Bank, HDFC and Wipro were the laggards in the 30-share Sensex.

Market breadth was strong as 1105 shares advanced while 342 declined on the BSE. On the NSE, 648 shares advanced and 269 declined.