Moneycontrol
Sep 26, 2012 07:35 PM IST | Source: CNBC-TV18

No fresh stake sale to L&T, says Astra Microwave MD

News of engineering and construction major Larsen and Toubro (L&T) buying fresh stake in Astra Microwave was doing the round. However, B Malla Reddy, Managing Director of Astra Microwave refuted any such claims and said L&T already has around 9.6 percent stake and they haven’t bought fresh stake in Astra Microwave.


News of engineering and construction major Larsen and Toubro (L&T) buying fresh stake in Astra Microwave was doing the round. However, B Malla Reddy, Managing Director of Astra Microwave refuted any such claims and said L&T already has around 9.6 percent stake and they haven't bought fresh stake in Astra Microwave.


Also read: Looking at overseas markets to build wider portfolio: L&T


Here is the edited transcript of the interview on CNBC-TV18.


Q: There was a lot of news that L&T was looking to acquire stake. Can you confirm the fact that they have indeed gone ahead with this?


A: Already they have nearly 10 percent stake. Only thing is they were holding it in one of their finance companies. They must have transferred it to L&T. It is not that they have bought any new stake.


Q: There is no fresh additional buy that they have done?


A: Yes.


Q: Any talks of them acquiring further stake in the company?


A: No.


Q: Where is the promoter stake currently at? Earlier there was so much talk about L&T upping their stake because the promoter stake stands quite low at about 20 percent or so? What is the promoter stake currently?


A: Yes, near about 20 percent.


Q: Are you looking at augmenting your own stake in the company?


A: Yes.


Q: By when would that be?


A: Maybe in another 3-4 months.


Q: Is there any possibility of L&T becoming a strategic investor in your company? Any possibility of them upping their stake further?


A: They had an eye, but I am not sure about when it will happen. But, they have an eye on the company.


Q: So currently their stake still stands at about 9.6 percent?

A: Yes, slightly less than that.

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