GE Hitachi Nuclear Energy (GEH) is in talks with Larsen & Toubro (L&T) to engage the engineering and construction firm as a potential vendor for its nuclear power plants in India. GEH had, late last month, announced a tie-up with state-owned equipment manufacturer Bharat Heavy Electricals Ltd (BHEL) for reactor manufacture. “We are in talks with L&T as well. The idea is to develop a supplier base in India for projects based on GEH’s Advanced Boiling Water Reactors (ABWR),” the Chief Executive Officer for GE Energy India, Bangladesh and Sri Lanka, Mr Kishore Jayaraman, said. GEH had, on March 23, announced the signing of two agreements with the Nuclear Power Corporation of India (NPCIL) and Bharat Heavy Electricals Ltd (BHEL) as the companies prepare to collaborate on building multiple GEH-designed nuclear reactors. Under the preliminary agreements, GEH will begin planning with NPCIL and BHEL for the necessary resources in manufacturing and construction management for a potential multiple-unit Advanced Boiling Water Reactor (ABWR) nuclear power station. According to GEH, its 1,350-MW ABWR technology is “the world’s only commercially proven Generation III reactor design”, with the first two of four units entering service in 1996 and 1997 and four additional units under construction currently. In the nuclear space, L&T has taken a first mover advantage and aggressively tied-up with a bevy of partners for reactor manufacture in the last couple of months. L&T has in place a preliminary agreement with Russia’s ZAO Atomstroyexport for manufacturing the ‘VVER series’ reactors.
Source: Business Line
Showing posts with label Larsen Toubro. Show all posts
Showing posts with label Larsen Toubro. Show all posts
Friday, April 24, 2009
Wednesday, April 15, 2009
L&T not to dilute holding in Satyam
Engineering major L&T today said it will not dilute stake in IT major Satyam, where it lost the race to Tech Mahindra for 31 per cent strategic holding, and exuded confidence that the new owner of the Hyderabad-based giant would add value for shareholders.
We are not disappointed with the outcome," a top official of the engineering giant told PTI when asked for comments on the company losing out to Tech Mahindra for acquiring Satyam.
"We expect that the new owner (the successful bidder Tech Mahindra) will increase the value of the enterprise and consequently an increase in the value of our holdings," D Morada, L&T General Manager, told PTI. Asked about the 12 per cent holding in Satyam, he said "We are not permitted to buy or sell Satyam equity for a period of six months ... This condition applies to all bidders." The official said that the company would not have gone overboard on the bidding for Satyam where Tech Mahindra emerged successful with an offer of Rs 58 a share, saying, "We bid what we thought was the fair value for the enterprise." L&T, which accumulated its holding to 12 per cent ahead of race, had offered Rs 45.90 a share. It was expected that the value of enterprise, as seen by the bidders, would vary considerably in view of the assessment that had to be made on the basis on incomplete information.
Thursday, April 2, 2009
L&T is looking out to exit/sell stake in projects in which they have minority stake
Engineering major Larsen & Toubro (L&T) is looking to exit from the infrastructure projects in which it holds minority stake, but open to bid in consortium with less than 50 per cent holding in large and complex projects like metro.
"Within IDPL, L&T is looking to sell off its stake in existing projects in which it has less than a 50 per cent stake," Macquarie said quoting deliberation of an analyst meet for L&T's Infrastructure Development business, L&T IDPL. Only in extremely large and complex projects, like urban metro, L&T might bid in a consortium and take less than a 50 per cent stake to diversify the risk, Macquarie said, adding that the company was bidding for most of the projects on its own and keeping larger stake where it was bidding in consortium. L&T IDPL is engaged into the development of airports, ports & harbours, railways, roads and water projects. "L&T's share in these projects (where it has below 50 per cent stake) would be below Rs 200 crore," one Macquarie analyst told PTI. L&T IDPL's existing portfolio has a total capital outlay of Rs 31,7OO crore. L&T's share of total equity investment would be around Rs 2,000 crore. It has already pumped in Rs 800 crore in these projects.
Thursday, September 20, 2007
L&T plans to pick up stake in Feedback
Larsen & Toubro (L&T), the country’s largest infrastructure company, is close to acquiring a stake in Feedback Ventures, a leading integrated infrastructure services firm. L&T’s investment vehicle for the acquisition will be the newly formed L&T Infrastructure Finance.
Sources in the know of the development said L&T Infrastructure’s investment in Feedback would be strategic in nature and bring both the companies closer in the future.
When contacted, sources in Feedback Ventures confirmed that they had held talks with L&T, adding that many private equity players had also shown interest in picking up a stake in the New Delhi-based company.
Sources in L&T said they would not comment on market speculation.
“The company will inform the stakeholder if there is any development worthy of mention on this front,” they added.
Mission Holdings, a group of people who founded the New Delhi-based Feedback Ventures, holds 36 per cent stake. Other shareholders of the closely held company include DLF, HDFC, IDFC and the Thapar group outfit, NewQuest Corporation.
No further details of the proposed deal could be ascertained. Sources in the know said the proposed purchase of stake would not cost L&T much. By the latest stake sale last year, Feedback Ventures was valued at Rs 84 crore, when DLF acquired 19 per cent stake for Rs 16 crore.
The infrastructure company’s valuation has appreciated over the past one year.
L&T is expected to have its nominees on the board of Feedback Ventures, if it acquires more than 10 per cent stake.
DLF, it may be mentioned, sent two nominees to the Feedback board, following its acquisition of 19 per cent stake last year.
L&T Infrastructure Finance, which was recently launched by L&T, is expected to hit the market in three to four years with a public issue.
(Source: Business Standard)
Sources in the know of the development said L&T Infrastructure’s investment in Feedback would be strategic in nature and bring both the companies closer in the future.
When contacted, sources in Feedback Ventures confirmed that they had held talks with L&T, adding that many private equity players had also shown interest in picking up a stake in the New Delhi-based company.
Sources in L&T said they would not comment on market speculation.
“The company will inform the stakeholder if there is any development worthy of mention on this front,” they added.
Mission Holdings, a group of people who founded the New Delhi-based Feedback Ventures, holds 36 per cent stake. Other shareholders of the closely held company include DLF, HDFC, IDFC and the Thapar group outfit, NewQuest Corporation.
No further details of the proposed deal could be ascertained. Sources in the know said the proposed purchase of stake would not cost L&T much. By the latest stake sale last year, Feedback Ventures was valued at Rs 84 crore, when DLF acquired 19 per cent stake for Rs 16 crore.
The infrastructure company’s valuation has appreciated over the past one year.
L&T is expected to have its nominees on the board of Feedback Ventures, if it acquires more than 10 per cent stake.
DLF, it may be mentioned, sent two nominees to the Feedback board, following its acquisition of 19 per cent stake last year.
L&T Infrastructure Finance, which was recently launched by L&T, is expected to hit the market in three to four years with a public issue.
(Source: Business Standard)
Thursday, August 9, 2007
L&T to invest Rs 100cr in Rangsons
Larsen & Toubro (L&T) is set to invest Rs 100 crore in Mysore-based Rangsons Electronics for a 40 per cent stake. Rangsons Electronics is a Rs 70 crore electronic manufacturing solutions provider and one of the preferred suppliers for L&T’s electrical & electronics division.
According to sources, the Rs 20,000 crore engineering and construction major is making investment to beef up its presence in the fast-growing EMS market. This division contributes around Rs 2,000 crore to L&T’s top line and is engaged in the business of low-voltage switchgear products, electrical systems, energy meters, medical equipments, petroleum dispensing pumps and automation solutions.
Rangsons Electronics is a part of the diversified N R Sons in Mysore. It employs around 700 people in four manufacturing units. In 2006, it increased capacity by around 50 per cent and has grown at a compounded annual rate of 65 per cent in the last five years.
In addition to L&T, Rangsons is also a major supplier to GE. These two account for around 65 per cent for the company’s top line.
(Source: Business Standard )
According to sources, the Rs 20,000 crore engineering and construction major is making investment to beef up its presence in the fast-growing EMS market. This division contributes around Rs 2,000 crore to L&T’s top line and is engaged in the business of low-voltage switchgear products, electrical systems, energy meters, medical equipments, petroleum dispensing pumps and automation solutions.
Rangsons Electronics is a part of the diversified N R Sons in Mysore. It employs around 700 people in four manufacturing units. In 2006, it increased capacity by around 50 per cent and has grown at a compounded annual rate of 65 per cent in the last five years.
In addition to L&T, Rangsons is also a major supplier to GE. These two account for around 65 per cent for the company’s top line.
(Source: Business Standard )
Thursday, July 12, 2007
L&T goes to Hazira for manufacturing JVs
Larsen & Toubro (L&T), India’s largest engineering company, is likely to set up two manufacturing facilities — for turbines and boilers — at Hazira in Gujarat. L&T has joined hands with Japan’s Mitsubishi to float a joint venture that will build the Rs 350-crore boiler factory, while its other JV, with Toshiba for manufacturing turbines, will spend another Rs 350 crore.
The two JV agreements are likely to be signed soon, said company sources. “We had three locations in mind, including port cities of Hazira and Chennai. Now, we have almost zeroed in on Hazira, where the company’s heavy engineering complex is situated in a 200-acre property.
The company is slated to commence boiler manufacturing by 2009. The new subsidiary, L&T Power Projects, will own 51% stake in the JV company and Mitsubishi will hold 49%. Initially, the JV will start with 50 employees, to be expanded to about 1,250 people, once production gets into full swing. The joint venture with Toshiba is likely to be in 51:49 equity sharing, and the investment for setting up the plant may go up to Rs 350 crore.
(Source: Economic Times)
The two JV agreements are likely to be signed soon, said company sources. “We had three locations in mind, including port cities of Hazira and Chennai. Now, we have almost zeroed in on Hazira, where the company’s heavy engineering complex is situated in a 200-acre property.
The company is slated to commence boiler manufacturing by 2009. The new subsidiary, L&T Power Projects, will own 51% stake in the JV company and Mitsubishi will hold 49%. Initially, the JV will start with 50 employees, to be expanded to about 1,250 people, once production gets into full swing. The joint venture with Toshiba is likely to be in 51:49 equity sharing, and the investment for setting up the plant may go up to Rs 350 crore.
(Source: Economic Times)
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