Bharat Heavy Electricals Limited (BHEL) has received a GST demand order from authorities in Gujarat, as disclosed in a regulatory filing. The disclosure was made under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

GST Demand Details

The demand order originates from the Enforcement Division-5 in Gujarat and relates to a dispute concerning input tax credit availment and utilization. The financial implications of this order are structured across three components:

All amounts are in lakhs

Nature of Dispute

The GST demand order has been issued under Section 74 of the GST Act and specifically addresses issues related to input tax credit (ITC) availment and utilization by BHEL. The authorities have identified what they consider to be aberrations or non-compliances in the company's GST ITC practices.

Company Response and Next Steps

BHEL has indicated that the order is currently appealable under GST regulations. The company's immediate response includes:

• Evaluation of the impugned order for potential legal challenges
• Assessment of grounds for filing an appeal against the demand
• Review of the disputed input tax credit claims and supporting documentation

The company has stated that it is actively evaluating the order to determine the appropriate course of action, including the possibility of filing an appeal against the GST authorities' decision.

Regulatory Compliance

The disclosure was made in compliance with SEBI regulations, specifically under Regulation 30 read with Sub Para 20 of Para A of Part A of Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This ensures transparency regarding material developments that could impact the company's operations or financial position.

The communication was digitally signed by Sayed Salahuddin, Manager of Corporate Communication at BHEL, and submitted to both BSE Limited and National Stock Exchange of India Limited as required under listing regulations.

Bharat Heavy Electricals Limited (BHEL), a Maharatna public sector undertaking, has successfully secured shareholder approval for a significant amendment to its Articles of Association. The company announced on December 18, 2025, that members approved the special resolution through postal ballot, officially removing previous investment limitations for establishing joint ventures and subsidiaries.

Amendment Details and Impact

The approved amendment modifies Article 69(22) of BHEL's Articles of Association, replacing restrictive investment clauses with enhanced operational flexibility. This change aligns BHEL's powers with its Maharatna status, granted in 2013, providing greater strategic autonomy in business expansion.

Postal Ballot Process Completion

The amendment was approved through a comprehensive postal ballot process that concluded on December 18, 2025. Dr. Yogesh R Chhabra, Company Secretary, communicated the results to stock exchanges including BSE Limited and National Stock Exchange of India Limited, fulfilling regulatory requirements under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Strategic Implications

The approved amendment removes significant operational constraints that previously limited BHEL's investment capabilities. Under the old framework, the company faced strict percentage-based limits on networth investments and was restricted to specific types of subsidiaries. The new clause provides comprehensive flexibility for establishing joint ventures and subsidiaries while maintaining compliance with government guidelines.

Regulatory Compliance and Accessibility

In accordance with Regulation 46 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the amended Articles of Association are now accessible on BHEL's official website at www.bhel.com . This ensures transparency and provides stakeholders with immediate access to the updated corporate governance framework.

The successful approval of this amendment positions BHEL for enhanced strategic partnerships and business expansion opportunities, both domestically and internationally, while maintaining appropriate regulatory oversight through government guidelines.