New Delhi: The government after three years of forming seven new Defence Public Undertakings (DPSUs) from the former Ordnance Factory Board (OFB) is exploring the possibility of merging five of them, according to a media report.
The report mentions that SBI Caps has received the mandate to facilitate the merger of five PSUs. It includes merging Yantra India Limited in Nagpur with Munitions India Limited in Pune and merging Troops Comforts Limited (TCL) and Gliders India Limited (GIL) in Kanpur along with India Optel Limited (IOL), Dehradun with Bharat Electronics Limited (BEL).
To boost operational independence, efficiency and foster innovation within the ordnance factories, the production units of the Ordnance Factory Board were converted into seven defence public undertakings, comprising 41 units, effective October 1, 2021. While announcing the split of the entities, the government said that the newly established defence public undertakings would possess increased functional and financial independence, and heightened accountability, enabling them to better assimilate new technologies.
