In a bid to fund its expansion, Larsen & Toubro (L&T) is reportedly planning to offload minority stake in its infrastructure unit -- L&T Infrastructure Development Projects. The company will dispose-off the same for an amount of $500 million to private equity investors or pension funds.
Further, the company, which has mandated Morgan Stanley to arrange the sale, is also planning to tap sovereign funds such as Singapore’s Temasek.
At present, L&T Infrastructure Development Projects is handling projects worth Rs 45,000 crore, which comprise 19 road and three port developments. Moreover, the company’s largest contract is a 164 billion-rupee metro rail project in southern Hyderabad city.
Larsen & Toubro is $11.7 billion technology, engineering, construction, manufacturing and financial services conglomerate, with global operations. L&T Electrical & Automation (E&A) is a business brand of the company.
