ABB in talks to buy out L&T’s electrical business

ABB in talks to buy out L&T’s electrical business

ABB, the Swedish-Swiss multinational, is in discussions with Larsen & Toubro to acquire its electrical and automation division. The division that generated revenues of Rs 4,650 crore and operating profit of a little over Rs 700 crore in 2016-17 is expected to be valued at Rs 14,000-18,000 crore, two people familiar with the development told ET.

ABB owns 75 per cent in ABB India, its locally listed arm, and the acquisition will help the Zurich-headquartered firm consolidate its position in the country. The ABB Group has a market capitalisation of $57 billion and revenues of $35.5 billion.

ABB and L&T both declined to say anything about the discussions, with the spokespersons of the companies saying they do not comment on speculation and rumour. Read More…

 

Credit By : The Economics Times

Leave a Reply

Your email address will not be published.