Here's why you should keep BHEL shares on radar today, March 6

Shares of state-owned Bharat Heavy Electricals Ltd (BHEL) would be among the buzzing stocks on Wednesday, March 6, as it has bagged an order from power giant NTPC to set up a 1,600 MW Singrauli thermal power project (Stage-II).

The size of the order is more than Rs 9,500 crore, excluding GST, the company said in an exchange filing.

The scope of the order, the company said, includes supply of equipment, erection and commissioning as well as civil works. It aims to complete Unit 1 in 50 months and Unit 2 in 54 months.

Shares of BHEL have rallied nearly 15 per cent in two days amid reports that the company is likely to get an order worth Rs 17,000 crore to construct a thermal plant.

The company had submitted the bid on March 12, and was the only bidder for the mentioned NTPC tender.

Meanwhile, shares of BHEL surpassed their previous eight-year high of Rs 243, its highest since February 5.

Earlier, on February 28, BHEL inked a joint venture agreement with Coal India to form a Joint Venture Company to undertake Coal to Chemicals business by initially setting up a Coal to 2000 TPD Ammonium Nitrate Plant using BHEL's in-house developed PFBG (Pressurized Fluidized Bed Gasification) technology.

As per the agreement, "equity shareholding shall be 51 per cent with CIL and 49 per cent with BHEL. The Joint Venture Company shall be incorporated as a 'Private Limited' company with an Initial paid-up share capital of Rs 1,00,000.