BHEL, Indiabulls Power shares drop on power project worries

Written By Unknown on Kamis, 10 Januari 2013 | 14.03

MUMBAI (Reuters) - Shares in Indiabulls Power Ltd and Bharat Heavy Electricals Ltd dropped on Thursday after Barclays Capital and Citigroup warned two thermal power projects the two companies were involved with could have been held up.

Barclays Capital and Citigroup both cited a report from the Central Electricity Authority under the Ministry of Power, highlighting that Indiabulls's projects at Nashik and Amravati in Maharashtra state had been held up due to "suspension of payments by financiers".

BHEL is a key supplier to Indiabulls on the two projects, according to these analysts.

BHEL and Indiabulls were not immediately available for comment.

BHEL shares were down 1.9 percent as of 11:45 a.m.; while Indiabulls shares were down 4.4 percent.

(Reporting by Abhishek Vishnoi and Manoj Dharra; Writing by Rafael Nam; Editing by Prateek Chatterjee)



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