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Larsen & Toubro to Acquire 21% Stake in E2E Networks for Rs 1,407.02 Crore, Expanding Cloud and AI Services.

Economy Business | Dated: 22 Nov 2024

Infrastructure major Larsen & Toubro (L&T) on Tuesday announced its decision to acquire a 21 per cent stake in E2E Networks Ltd, a cloud services company, for Rs 1,407.02 crore. This move is significant as it will enhance L&T's presence in cloud and AI services, key growth areas in the technology sector.

🎯 Key Highlights:

  • - The company entered into an investment agreement on November 5, 2024, to acquire up to 21 per cent stake in E2E Networks Ltd, according to a regulatory filing.
  • - L&T will invest Rs 1,079.27 crore for a 15 per cent stake through preferential allotment and Rs 327.75 crore for an additional six per cent stake through secondary acquisition, as mentioned in the filing.

💡 Other Important Facts:

  • (i) The acquisition of the stake in E2E Networks is expected to be completed by December 31.
  • (ii) L&T will not acquire control of E2E Networks and will remain a minority shareholder with certain protective rights.

📚 Test Your Knowledge:

How much percentage of stake has L&T recently decided to acquire in E2E Networks Ltd?

Correct Answer: 21%

🚀 Quick Recap: