Larsen & Toubro (L&T) has signed a share sale and purchase agreement, pending final closing conditions, with Toshiba Machine Company (TMC), Japan, to sell its entire stake in L&T Plastics Machinery (LTPML). The move is in line with the company’s strategic road-map to exit non-core businesses and rationalize its portfolio.
LTPML, a wholly owned subsidiary of L&T, manufactures and markets injection moulding machines. With a significant installed base of injection moulding machines across various sectors such as automotive, packaging, stationery among others, the company enjoys strong brand recognition and has valuable on-going customer relationships.
TMC is involved in the manufacture of injection moulding machines and other machinery. It has manufacturing units in Japan and China, and primarily caters to the Asian and North American markets. As a part of its strategy to expand globally with a focus on developing countries, TMC has decided to acquire L&T's stake in LTPML.