l&T sells electrical unit to Schneider Electric for Rs 14,000 cr

l&T sells electrical unit to Schneider Electric for Rs 14,000 cr

Published
Hot News Text
1 min read
l&T sells electrical unit to Schneider Electric for Rs 14,000 cr
New Delhi, May 1 (IANS) Engineering and construction conglomerate larsen and Toubro (l&T) on Tuesday signed a deal with French multinational Schneider Electric to sell its electrical and automation (E&A) business to the latter for Rs 14,000 crore ($2.1 billion).
According to a l&T statement here, the transaction would be an all-cash deal, without recourse to loans.
"larsen&Toubro today signed, subject to regulatory approvals, definitive agreements with Schneider Electric for strategic divestment of its electrical and automation (E&A) business for an all-cash consideration of Rs 14,000 crore," the statement said.
The electrical and automation business of the company includes low and medium voltage switchgear, electrical systems, marine switchgear, industrial and building automation solutions, energy management systems and metering solutions, it said.
However, the transaction does not include marine switchgear and Servowatch Systems, according to the company.
Commenting on the deal, l&T Chief Executive S.N. Subrahmanyan said in a statement: "The divestment of E&A business is in line with l&T's stated intent of unlocking value within the existing business portfolio to streamline and allocate capital and management focus for creating long-term value for our stakeholder."
The company's E&A business reported a net revenue of Rs 5,038 crore during the financial year 2016-17, the statement said.
--IANS
rrb-bc/him/bg

(This story was auto-published from a syndicated feed. No part of the story has been edited by The Quint.)

(This story was auto-published from a syndicated feed. No part of the story has been edited by The Quint.)

(The Quint is available on Telegram. For handpicked stories every day, subscribe to us on Telegram)

We'll get through this! Meanwhile, here's all you need to know about the Coronavirus outbreak to keep yourself safe, informed, and updated.

Liked this story? We'll send you more. Subscribe to The Quint's newsletter and get selected stories delivered to your inbox every day. Click to get started.

The Quint is available on Telegram & WhatsApp too, click to join.

Stay Updated

Subscribe To Our Daily Newsletter And Get News Delivered Straight To Your Inbox.

Join over 120,000 subscribers!