Larsen & Toubro (L&T) on Tuesday announced that it has acquired the remaining 26 per cent stake in L&T Special Steels and Heavy Forgings Private Ltd (LTSSHF) from Nuclear Power Corporation of India Limited (NPCIL), for Rs 170 crore. L&T already holds 74 per cent shareholding in LTSSHF and following this, the latter will become a wholly-owned subsidiary of the infrastructure major.
In a regulatory filing, the company said, “We wish to inform you that the company has acquired the balance 26% stake in L&T Special Steels and Heavy Forgings Private Limited (LTSSHF), an existing subsidiary of the Company, from Nuclear Power Corporation of India Limited (NPCIL) and also executed the Joint Venture Termination Agreement with NPCIL. Consequently, LTSSHF has become a wholly owned subsidiary of the Company.”
ALSO READIndia leading the next phase of global outsourcing expansion: Deloitte report
Under L&T’s 100 per cent ownership, LTSSHF will be able to undertake incremental investments to increase the breadth of its offerings to address market segments beyond energy and to improve overall utilization.
The acquisition includes 1.47 billion equity shares, 1.67 billion preference shares, and a secured loan provided by NPCIL to LTSSHF.
Earlier in January, L&T had released its fiscal third quarter earnings report with profit at Rs 3358.84 crore, posting a growth of 13.96 per cent in comparison to Rs 2947.36 crore during the same quarter of FY24. It had posted revenue from operations at Rs 64,667.78 crore, up 17.31 per cent as against Rs 55,127.82 crore during the third quarter of previous financial year. This was attributed to a strong order book and ramp up in execution momentum across its Projects & Manufacturing (P&M) businesses.
Shares of L&T were down 0.02 per cent at 6:00 pm at a trading price of Rs 3,220.75.
» Read More
