L&T Expands Technology Horizon with Stake in E2E Networks

Larsen & Toubro (L&T) will acquire a 21% stake in E2E Networks Ltd, enhancing its capabilities in AI and cloud services. The investment, totaling Rs 1,407.02 crore, comprises a 15% stake via preferential allotment and an additional 6% through secondary acquisition. Completion is expected by December 31.

Infrastructure giant Larsen & Toubro (L&T) announced its decision to acquire a 21% stake in E2E Networks Ltd, a significant move aimed at bolstering L&T's capabilities in the burgeoning fields of artificial intelligence and cloud services within the technology sector.

The acquisition deal, revealed in a regulatory filing, involves L&T investing Rs 1,079.27 crore for a 15% stake via preferential allotment and a further Rs 327.75 crore to secure an additional 6% through secondary acquisition. This strategic move is slated to conclude by December 31, marking L&T's strategic foray into AI and cloud services.

Despite acquiring a substantial share, L&T will remain a minority shareholder with protective rights. The company plans to strengthen its market approach by entering additional agreements with E2E Networks, which is renowned for providing public cloud services in India.

(With inputs from agencies.)