Hyderabad metro project divestment to complete by FY26-end: L&T

New Delhi, Sep 26 (PTI) Infrastructure major Larsen & Toubro on Friday said that disinvestment of its stake in Hyderabad metro project will be completed by the end of current financial year.

"We expect the divestment to get completed by the end of the current fiscal FY26," L&T said in a filing to BSE.

The company said that Telangana government will take over the Hyderabad Metro SPV by refinancing the current debt and acquiring equity of L&T Metro Rail (Hyderabad) Ltd at the agreed values An in principle understanding has been reached between both on the same.

Official sources on Thursday said that Telangana government has agreed to take over Phase-I of Hyderabad Metro Rail project from L&T Group by paying Rs 2,000 crore for the equity in the concessionaire L&T Metro Rail Hyderabad Ltd.

It was agreed that the state government would also take over the company's debt of Rs 13,000 crore, they had said. L&T has about 90 per cent equity in the project.

Last month, the infra major expressed its desire to offload its stake, the Metro Rail project-about 70 KM, to either the state or central government through a new Special Purpose vehicle (SPV), citing operational and accumulated losses. PTI SID MR MR