Government sells its 2.5% stake in L&T via six block deals
DSIJ Intelligence / 21 Jun 2017
The Indian government through its investment holding arm Specified Undertaking of Unit Trust of India (SUUTI) sold 2.5 per cent stake for about Rs 4,000 crore in Larsen and Toubro Ltd on June 21,2017, through six block deals, bringing down its stake from 6 per cent to 4 per cent in the company.
The Indian government through its investment holding arm Specified Undertaking of Unit Trust of India (SUUTI) which is formed by the restructuring of the erstwhile Unit Trust of India (UTI) into UTI Trustee Company Private Limited and the SUUTI, sold 2.5 per cent stake for about Rs 4,000 crore in Larsen and Toubro Ltd on June 21,2017, through six block deals, bringing down its stake from 6 per cent to 4 per cent in the company.
In April 2016 also, the government investment holding arm raised nearly Rs 2,100 crore by selling 1.63 per cent stake in L&T. As of March 2017, SUUTI held 6.68 per cent stake in L&T . SUUTI’s stakes was valued at above Rs 50,000 crore in L&T,ITC and Axis Bank.
The Indian government is selling its stake in companies held via SUUTI in order to achieve the current financial year 2017-18 divestment target of Rs 72,500 crore.
On June 21,2017, L&T was trading at Rs 1761.50, up by 0.62 per cent on BSE at 11:42 hours. It touched its intraday high at Rs 1781.40 and low at Rs1755.75. On Wednesday it opened at Rs 1760.30 while on Tuesday closed at Rs 1750.60.