A consortium of French energy management firm Schneider Electric and Singapore state investor Temasek Holdings is in talks with Larsen & Toubro to acquire its electrical and automation division for Rs 13,000-15,000 crore, The Economic Times reported.
Citing a person in the know, the report said the deal was expected last quarter but got stuck over valuation differences.
The current deal valuation of Rs 13,000-15,000 crore is lower than the earlier estimate of Rs 15,000-17,000 crore, said the person.
L&T Electrical & Automation comprises of low and medium voltage switchgear and electrical systems, energy management systems and metering solutions, and automation solutions. Its products and solutions cater to industry, utility, building and home, infrastructure and agriculture.
For 2016-17, L&T Electrical and Automation recorded gross revenue of Rs 5,367 crore and operating profit of Rs 702 crore, according to its annual report.
In another development, the Aditya Birla Group is looking to sell 15-20% stake in Aditya Birla Idea Payments Bank Ltd for raising about Rs 200 crore, The Economic Times reported, citing two people aware of the development. The group will seek a valuation of Rs 1,000 crore for the venture that had started operations in February.
The money raised will be used to expand the business, according to the report.
Aditya Birla Nuvo Ltd holds 51% stake in the company. The remaining is held by Idea Cellular Ltd.
The Reserve Bank of India had given an in-principle approval to 11 applicants for setting up payments banks. Leave Your Comment