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Last Updated : Jun 02, 2019 06:34 PM IST | Source: PTI

L&T picks up Mindtree shares worth Rs 70 crore between May 27-30

L&T, which has been pursuing a hostile takeover of Mindtree, has expressed its intent to ramp up its shareholding up to 66%.


Infrastructure major Larsen and Toubro (L&T) picked up 7.11 lakh shares of IT firm Mindtree between May 27-30 for about Rs 70 crore, according to regulatory data.

The development assumes significance as L&T has been steadily increasing its holding in the Bengaluru-based tech firm where it acquired around 20 per cent stake of V G Siddhartha and Cafe Coffee Day last month.

L&T, which has been pursuing a hostile takeover of Mindtree, has expressed its intent to ramp up its shareholding up to 66 percent.

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According to BSE data, L&T acquired shares from the open market throughout the week (May 27-30) with the highest quantum of shares being purchased on May 28 when it picked up over 3.5 lakh shares of Mindtree at Rs 979.98 apiece.

A back-of-the-envelope calculation showed that the company spent close to Rs 70 crore during the week for these transactions, which took its overall shareholding to 28.88 per cent.

In multiple tranches, L&T mopped up more than 7.11 lakh shares during the said week. Shares of Mindtree ended flat at Rs 977.70 apiece on BSE on Friday (May 31).

In March, L&T mounted a hostile takeover bid on Mindtree when it entered into a deal to buy Cafe Coffee Day owner V G Siddhartha's 20.32 percent stake in Mindtree and also placed an order with brokers to pick up another 15 per cent of the company shares from the open market.

Subsequent to these deals, L&T is required to make an open offer to buy additional stake. In all, the infrastructure major is eyeing up to 66 percent stake in Mindtree for around Rs 10,800 crore.

L&T's open offer - which was earlier slated to begin on May 14 - has been delayed as the engineering major is awaiting nod from the Securities and Exchange Board of India. Emails sent to L&T didn't elicit a response.

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First Published on Jun 2, 2019 06:16 pm
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