L&T acquires entire TIDCO's stake in L&T Shipbuilding Ltd
Mumbai, Apr 11 (UNI): Larsen & Toubro Limited (L&T) has purchased the entire stake held by Tamil Nadu Industrial Development Corporation Limited ('TIDC0') in L&T Shipbuilding Limited (LTSB), a subsidiary company, on April 10, 2019.
TIDCO held 3 pc stake in LTSB. The same has now been acquired by L&T, to make it a wholly-owned subsidiary. The consideration paid to acquire the stake was Rs 32.74 crore, L&T said in a filing with BSE.
L&T Shipbuilding was incorporated on November 13, 2007 and currently operates a modern shipyard from Kattupalli, Chennai carrying out shipbuilding and ship related activities. The company undertakes manufacture and building of Warships, Auxiliary Vessels / Crafts and Specialised Commercial Ships.
In addition Kattupalli shipyard also undertakes Repairs and Refits of both Defence and Commercial ships.
The acquisition is not a related party transaction. This transaction is being done pursuant to exercise of a put option which TIDCO had on Larsen & Toubro Limited which is the Promoter of L&T Shipbuilding Limited as agreed with TIDCO at the time of inception of L&T Shipbuilding Limited.
The transaction is done on an arms length basis.
Support Our Journalism
We cannot do without you.. your contribution supports unbiased journalism
IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.
