The Hindu Business Line : L&T to offload stake in Satyam by March

Mumbai, Aug. 28 Larsen and Toubro will sell its 6 per cent holding in Mahindra Satyam by March, Mr A.M. Naik, Chairman and Managing Director, L&T, said at the company’s annual general meeting here on Friday.

Replying to a shareholder’s question, Mr Naik said there was a lock-in period (up to October 14) for the investment and L&T would sell at the ‘right time and the best price’ and there was a possibility of good profit.

L&T had about 12.04 per cent holding in Mahindra Satyam (erstwhile Satyam Computer Services Ltd), that it acquired in two tranches — four per cent in December 2008 and about 8 per cent on January 23, 2009, which subsequently got diluted with fresh issue of shares to the Mahindras, who took over the IT services company.

L&T’s total investment of about Rs 600 crore in Satyam at Rs 82 per share is now worth over Rs 800 crore with the stock closing at Rs 113.85 on the BSE on Friday. The investment could result in a net gain of about Rs 200 crore, Mr Naik said, pointing out there a tax component involved in the sale.

Order flow

On order inflow, Mr Naik said the order book stood at Rs 70,000 crore at the beginning of the year and company had booked Rs 10,000 crore orders in the last one month and another Rs 10,000 crore contracts are expected in the next four to six weeks.

Replying to the shareholders’ query on transportation of equipment for offshore installations, he said the company would acquire a new Rs 800-crore barge for the purpose by November.

Related Stories:
L&T yet to make up its mind on Satyam stake sale
L&T seeks SEBI nod to exit Mahindra Satyam

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
L&T to offload stake in Satyam by March

RIL-RNRL row hearing set for Oct 20

Award for TV9 network

Now, Novartis moves SC on Glivec patent

CESC buys 50% stake in Dhariwal Infra for Rs 200 crore

An eventful journey from deep sea to desert

More than just producing oil

Hitachi sets up plant at Kadi

ONGC gets nod for combined development of two offshore fields

A milestone in Cairn’s history: Gammell

Madras HC disallows Subhiksha plea

AP prohibits Chittivalasa jute mill lockout

We are ready to go on stream: Dhir

Health Care Global charts Rs 400-cr growth plan

Hyundai Getz to be phased out, another small car by 2011

Delivery of Cairn crude to MRPL slated for Oct