BANGALORE: If the Union Government gives its nod, the Bangalore-based Hindustan Aeronautics Limited (HAL) may go public and to become a listed company soon.

While the HAL board is yet to clear the proposal, it was just a matter of time, before it got the government’s approval, said HAL Director (Finance) D Shivamurti. “It will help us do better and be much more responsive, as well as it is the government policy to go in for more disinvestment in strategic sectors,” he added.

A couple of other top officials also reflected his views, saying that the board understood the need for corporate governance and all would like HAL to be a listed organisation. But, ultimately, it is for the government to decide, they stated.

The public holding company, according to Shivamurti, is expected to make about a profit of 10 per cent in 2010-11, from the turnover of `11,500 crore last year. “The estimated figure for this year is `12,600 crore,” he said.

With reserves of `9,000 crore, HAL has plans to accrue `1,500 crore every passing year. “Overall, we plan to invest 8-9 per cent of our turnover in indigenisation. It will help us be self-reliant,” Shivamurti said.

Over the next 10 years, the organisation would spend `20,000 crore to upgrade its plants. “We will not borrow anything, but utilise our own funds, though we have enough capability to borrow,” he noted.

As of now, the aeronautics major has an order book worth about `1 lakh crore. “In the last five years, we had an order book worth `35,000 crore,” Shivamurti said.